Expanded definition of business makes sale of a business-used asset taxable even if seller is not a dealer in that commodity.

Under the enlarged definition of "business" in section 2(bb) of the M.P. General Sales Tax Act, 1958, sale of an asset used for business purposes can fall within taxable turnover if the transaction is connected with the business. It is not necessary that the assessee be a dealer in the commodity sold. Applying that principle, the sale of an old car used in the business was treated as a business transaction and its sale proceeds were includible in taxable turnover.

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Issues: Whether the sale proceeds of an old car used by the assessee for business purposes were includible in taxable turnover and taxable as a transaction of business under the enlarged definition of business.

Analysis: Under section 2(bb) of the M.P. General Sales Tax Act, 1958, the expression "business" was given an enlarged meaning. It was not necessary that the assessee should be a dealer in the commodity sold. If the sale of the asset was connected with the business and the asset had been used for business purposes, the transaction could fall within the statutory concept of business and be brought to tax. The fact that the assessee was not a dealer in motor cars was therefore not decisive.

Conclusion: The sale of the old car was taxable and its sale proceeds were includible in the turnover.

Ratio Decidendi: Where the statute gives an enlarged meaning to "business", sale of an asset used for business purposes is taxable if the sale is connected with the business, even though the assessee is not a dealer in that commodity.

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