Deemed turnover includes tax collected from buyers, so the additional sales tax levy applies to taxable goods.

Amounts collected by a dealer as tax, though separately shown in the bill, were treated as part of the sale price and, once deemed by statute to form part of turnover, formed part of the dealer's total turnover. On that construction, they were not confined to the basic tax under section 3(1)(b) of the Madras General Sales Tax Act, 1939. The additional levy under section 3(2)(iv) also applied where the goods sold were within its scope. The Tribunal's contrary view was rejected, and liability to the additional tax was upheld.

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Issues: Whether amounts collected by a dealer by way of tax and deemed to form part of his turnover under section 2 of Act XVII of 1954 were liable only to the basic tax under section 3(1)(b) of the Madras General Sales Tax Act, 1939, or also to the additional tax under section 3(2)(iv) of that Act.

Analysis: The amounts collected by way of tax, though separately shown in the bill, formed part of the price paid by the purchaser and therefore constituted part of the consideration for the sale. Once section 2 of Act XVII of 1954 deemed those amounts to form part of the dealer's turnover, they fell within the statutory concept of total turnover and were not to be isolated from the sale price for the purpose of levy. The expression "total turnover" had to be read with the definitions of "sale" and "turnover" in the Act, and the additional levy under section 3(2)(iv) attached where the goods sold themselves attracted that levy.

Conclusion: The amounts collected by way of tax were liable to the additional levy under section 3(2)(iv), and not merely to the basic tax under section 3(1)(b).

Final Conclusion: The Tribunal's view was rejected, and the revisions succeeded on the question of liability to the additional tax.

Ratio Decidendi: Amounts collected by a dealer from the purchaser as tax, when statutorily deemed to form part of turnover, remain part of the consolidated sale consideration and are liable to every tax levy that attaches to the taxable turnover of the goods sold.

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