TaxTMI 
TaxTMI 
1956 (3) TMI 25
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....ed the firm of Messrs. Ullal Deva Rau and Sons, commission agents of Mangalore, to function as the purchasing agents for coffee for Messrs. Polsons Ltd. The authorisation by Polsons Ltd., enabling Messrs. Ullal Deva Rau and Sons to bid at the auction was accepted by the Indian Coffee Board. In pursuance of this, Messrs. Ullal Deva Rau and Sons, as commission agents bid at the coffee pool auction on behalf of Messrs. Polsons Ltd. They took delivery of the goods. It is not denied that the goods were subsequently sent by the commission agents to Messrs. Polsons Ltd., Bombay. The Tribunal was of the view that the sales had been effected in the course of inter-State trade, and that the assessee, the Indian Coffee Board, was entitled to the immu....
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....d down by the Supreme Court. No doubt the buyer, Polsons, were not residents of Madras. But then the residence of the buyer is not a relevant factor, as the Supreme Court has pointed out in Vakkan's case(2). It is equally true that Deva Rau and Sons carried on business within the State of Madras as commission agents. That by itself does not conclude the (1) [1953] 4 S.T.C. 205 at p. 218. (2) [1956] 6 S.T.C. 647. question at issue. It was as the authorised agents of the buyer, Polsons, that the agents bid at the sale held by the respondent, the Indian Coffee Board. The bid was accepted and the sale was concluded by the delivery of the coffee that was sold to the agent, at the place of sale within the State of Madras. With the subsequent tran....
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....ent, again in the normal course of business, despatched the goods to his principal do not alter the fact that as between the seller and the buyer the sale was completed by the deli- very of the goods sold at the seller's premises within the State of Madras. That made it an intra-State sale, a sale wholly concluded within the State of Madras. The liability to tax under the Act arose at that stage and fell upon the seller. That the goods were purchased avowedly for transport outside the State of Madras would not make it a sale in the course of inter-State commerce. In the despatch of the goods by the agent to his principal, there was no element of sale. In the sale to the agent by the seller there was no element of transport. Despite Deva Rau....