TaxTMI 
TaxTMI 
1980 (2) TMI 227
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....r had been exempted from sales tax by the Commercial Tax Officer, No. II, Guntur (C.T.O. for short), in his assessment order dated 30th April, 1971. 2.. Two assessment orders were passed by the C.T.O. on the date last mentioned. One of them covered the turnover of the appellant liable to tax under the Central Sales Tax Act (hereinafter referred to as the Central Act). That turnover included a sum of Rs. 26,61,166 which represented the price realised on account of inter-State sale during the period 1st April, 1969, to 9th June, 1969. In respect of this amount the order made by the C.T.O. was: "The dealers have not charged and collected Central sales tax for the period from 1st April, 1969, to 9th June, 1969. The turnover of Rs. 26,61,166.33 up to 9th June, 1969, is allowed exemption in view of section 10 of Central Sales Tax Amendment Act." The second assessment order was passed under the A.P. Act and therein the C.T.O., while considering a sum of Rs. 54,87,879 being the purchase value of cotton sold during the year through inter-State sale, remarked that the appellant was entitled to "exemption" under the proviso to section 6 of the A.P. Act in respect thereof. He finalised the ....
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...., 1964, and the 9th day of June, 1969, and the dealer effecting such sale has not collected any tax under the principal Act on the ground that no such tax could have been levied or collected in respect of such sale or any portion of the turnover relating to such sale and no such tax could have been levied or collected if the amendments made in the principal Act by this Act had not been made, then, notwithstanding anything contained in section 9 or the said amendments, the dealer shall not be liable to pay any tax under the principal Act, as amended by this Act, in respect of such sale or such part of the turnover relating to such sale. (2) For the purposes of sub-section (1), the burden of proving that no tax was collected under the principal Act in respect of any sale referred to in sub- section (1) or in respect of any portion of the turnover relating to such sale shall be on the dealer effecting such sale." Section 6 of the A.P. Act as on 30th April, 1971. "6. Tax in respect of declared goods.-Notwithstanding anything contained in section 5, the sales or purchases of declared goods by a dealer shall be liable to tax at the rate, and only at the point of sale or purchase, spec....
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....ared goods, be subject to the following restrictions and conditions, namely: (a) the tax payable under that law in respect of any sale or purchase of such goods inside the State shall be levied only in respect of the last sale or purchase inside the State and shall not exceed two per cent of the sale or purchase price; (b) where a tax has been levied under that law in respect of the sale or purchase inside the State of any declared goods and such goods are sold in the course of inter-State trade or commerce, the tax so levied shall be refunded to such person in such manner and subject to such conditions as may be provided in any law in force in that State." Clause (b) of section 15 of the Central Act as amended in 1972 retrospectively with effect from 1st October, 1958. "(b) where a tax has been levied under that law in respect of the sale or purchase inside the State of any declared goods and such goods are sold in the course of inter-State trade or commerce, and tax has been paid under this Act in respect of the sale of such goods in the course of inter-State trade or commerce, the tax levied under such law shall be reimbursed to the person making such sale in the course of i....
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.... a tax under the opening para of the section but as it was also entitled to a refund of such tax, the same was taken to have been paid by and refunded to it. As the section then stood, therefore, the assessment order was unexceptionable. This was also the position under clause (b) of section 15 of the Central Act the language of which is practically the same as of the proviso to section 6 of the A.P. Act. 7.. The matter however does not end there as the amendment of section 15 of the Central Act in 1972 and that of section 6 of the A.P. Act in 1974 made a real difference which appears to us to be an insurmountable hurdle in the way of the appellant's stand being accepted. As already stated, both the amendments were retrospective so as to be effective from 1st October, 1958. That means that the law to be applied to the assessment finalised through the two orders dated 30th April, 1971, by the C.T.O. was that as modified by the two amendments. Of course we are here concerned only with the order of assessment made under the A.P. Act. That order would be good if it is in conformity with the provisions of the amended section 6 of the A.P. Act but not otherwise. Under the amended secti....