Market cess and turnover: statutory cess collected from purchasers was excluded from sales tax turnover absent consideration in sale price.

Market cess collected by a dealer on sales of jaggery in a market yard was not part of turnover because turnover includes only amounts forming part of the sale consideration. The decisive test was whether the cess was included in the price and recovered from the purchaser as consideration for the transfer of goods. On the Tribunal's finding, the cess was a statutory liability of the purchaser, and the dealer merely collected it on behalf of the market committee under the Rules. It therefore could not be assessed to sales tax, and the Tribunal's order was upheld.

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Issues: Whether market cess collected by an agent or dealer on sales of jaggery in the market yard formed part of turnover and was assessable to sales tax.

Analysis: The definition of turnover covered the total amount charged as consideration for the sale or purchase of goods, including sums charged by the dealer, but only where the amount formed part of the consideration for the transaction. The decisive test was whether the cess was included as part of the sale price and realised from the purchaser as consideration. On the finding recorded by the Tribunal, the market cess was not collected under any agreement as part of the sale consideration; it was a statutory liability of the purchaser, and the dealer merely collected it on behalf of the market committee under Rule 74(4) of the Rules. Since the cess was not shown to have been included in the price as consideration for transfer of property, it could not be treated as turnover.

Conclusion: The market cess did not form part of turnover and was not assessable to sales tax. The Tribunal's order was upheld.

Ratio Decidendi: A statutory cess collected by a dealer does not enter turnover unless it is shown to have been included in the price and recovered from the purchaser as part of the consideration for the sale.

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