Dealer status under Bombay sales tax law confirmed where sales were carried out from Bombay through warehousing and delivery arrangements.

The assessee was treated as carrying on the business of selling or supplying goods in Bombay because it had its registered office and a clearing warehouse there, took delivery of imported goods in Bombay through a clearing agent, and completed sales with the director's sanction and approval. Those facts showed that the sales were made in Bombay for the purpose of the Bombay Sales Tax Act, 1946. The assessee was therefore a dealer within section 2(c), and the finding went against it.

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Issues: Whether the assessee was a dealer within the meaning of section 2(c) of the Bombay Sales Tax Act, 1946.

Analysis: The assessee had its registered office in Bombay, maintained a clearing warehouse there, and its goods imported from abroad were taken delivery of at Bombay through the clearing agent. The transactions of sale were effected with the sanction and approval of the company's director, and the assessee had itself obtained exemption in Madhya Pradesh on the footing that the sales were made directly at Bombay. On these facts, the assessee was carrying on the business of selling or supplying goods in the State of Bombay.

Conclusion: The assessee was a dealer within section 2(c) of the Bombay Sales Tax Act, 1946, and the finding was against the assessee.

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