TaxTMI 
TaxTMI 
TaxTMI 
1988 (8) TMI 369
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....f Allahabad, dated 12th July, 1982. The decision was rendered in a revision by the assessee which was directed against the order of the Sales Tax Tribunal. The year involved is the assessment year 1974-75. The assessee carried on the business of mining and sale of silica sand. The question was whether the sales tax could be charged from the assessee in respect of packing charges received by the assessee from the purchaser. The sales tax authorities as well as the Tribunal held that the assessee was liable to pay sales tax on the packing charges that he had received from the purchaser. From the facts found by the Tribunal it appears that there was a contract for packing the silica sand in gunny bags and packing charges had been realised o....
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....t the time of or before the delivery thereof. The Tribunal also found that packing was done at the request of the buyer and that it was a convenient mode of delivery. The buyers had given directions for the quality of packing and it appears from the order form and this all was done in respect of the goods for putting these in deliverable state and so the packing charges, according to the Tribunal are exigible to tax in this case. The Tribunal clearly came to the conclusion that all these expenses were incurred in order to put the goods in deliverable state prior to their delivery. As per the agreement these expenses were rightly included in the sale price and it could not be said that these were not part of the sale price. Hence, the Tribu....
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....and incidental to the same. In a slightly different state of facts this question came before this Court in Commissioner of Taxes v. Prabhat Marketing Co. Ltd. [1967] 19 STC 84. There, the respondent sold hydrogenated oil which was exempt from sales tax under the Assam Sales Tax Act, 1947. The question was whether the value of the containers in which hydrogenated oil was sold could be assessed to sales tax under the Act. The High Court held that the value of the containers was not assessable to sales tax unless separate price had been charged for the containers. On an appeal this Court held that the value of the containers was assessable to sales tax under the said Act if there was an express or implied agreement for the sale of such conta....