Turnover excludes levy collected only for deposit when buyer bears the statutory liability under sales tax law.

The expression "turnover" under the Punjab General Sales Tax Act, 1948 covers sale consideration and amounts legally recoverable as part of the sale price. A levy collected by the seller only for onward deposit, where the statutory liability to pay rests on the buyer, is not the seller's own liability and does not form part of turnover. Applying that principle, the Rural Development Fund levy was held outside the seller's turnover, and the issue was answered in favour of the assessee.

---

---

Issues: Whether the levy under the Rural Development Fund forms part of the turnover under the Punjab General Sales Tax Act, 1948.

Analysis: The expression "turnover" under section 2(i) of the Punjab General Sales Tax Act, 1948 includes the aggregate of sales and purchases and amounts charged in respect of goods at or before delivery. The controlling principle applied was that an amount can be treated as part of turnover only if it is legally recoverable as part of the sale consideration. Since the levy in question was treated on the same footing as market fee, and the governing law placed the obligation to pay on the buyer with the seller only collecting it for deposit, the amount did not represent the seller's own liability or sale consideration.

Conclusion: The levy under the Rural Development Fund does not form part of turnover and the question was answered in favour of the assessee.

Ratio Decidendi: A sum collected by a seller merely for onward deposit, where the statutory liability to pay rests on the buyer, is not part of the seller's turnover or sale consideration.

---