Taxable turnover includes undisclosed excise duty collections, composite reassessment permits enhancement, and old jewellery is not bullion or specie.

Excise duty collections forming part of sale consideration were treated as taxable turnover; their omission from the returns supported reassessment under section 16 of the Tamil Nadu General Sales Tax Act and justified penalty for wilful suppression. A composite reassessment order opened the entire assessment to appellate scrutiny, so the Tribunal could entertain enhancement for the remaining turnover. Old jewellery was held not to be bullion or specie, because it remains manufactured gold goods rather than raw gold or coin, and it was liable to tax at the general rate.

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Issues: (i) whether excise duty collections not disclosed in the returns were includible in the taxable turnover and attracted reassessment under section 16 of the Tamil Nadu General Sales Tax Act, 1959, and whether penalty was leviable for wilful suppression; (ii) whether the Revenue's enhancement petition before the Tribunal was maintainable in respect of the entire assessment; (iii) whether old jewellery purchased by the assessee fell within the entry for bullion and specie.

Issue (i): whether excise duty collections not disclosed in the returns were includible in the taxable turnover and attracted reassessment under section 16 of the Tamil Nadu General Sales Tax Act, 1959, and whether penalty was leviable for wilful suppression.

Analysis: Excise duty collections were held to form part of the sale consideration and were therefore taxable turnover. The collections were not disclosed in the returns and were not made known to the assessing authority until detected by the department. The use of separate bills and endorsements did not alter the legal character of the receipts, and the conduct was treated as concealment of turnover.

Conclusion: The reassessment on the excise duty collections was valid and penalty under section 16(2) was justified.

Issue (ii): whether the Revenue's enhancement petition before the Tribunal was maintainable in respect of the entire assessment.

Analysis: The assessment order under section 16 was a composite order refixing the entire total and taxable turnover, not merely the escaped item. Once the assessee appealed against that composite order, the whole assessment was before the appellate forum, and the Tribunal had jurisdiction to entertain enhancement in relation to the remaining turnover as well.

Conclusion: The enhancement petition was maintainable and was rightly entertained.

Issue (iii): whether old jewellery purchased by the assessee fell within the entry for bullion and specie.

Analysis: Old or worn jewellery does not lose its character as manufactured gold goods merely because it is intended to be melted. It is neither bullion, which connotes raw or unwrought gold in mass, nor specie, which refers to coin used as currency. Such purchases therefore fall outside the preferential entry and are taxable at the general rate.

Conclusion: Old jewellery was not covered by the entry for bullion and specie and was liable to tax at the general rate.

Final Conclusion: All challenges to the reassessment, penalty, and enhancement failed, and the Revenue's stand on taxability was upheld in full.

Ratio Decidendi: Excise duty collections form part of taxable turnover when they represent consideration for the sale, and a composite reassessment order opens the entire assessment to appellate scrutiny, including enhancement; old jewellery is not bullion or specie for preferential taxation.

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