1956 (9) TMI 46

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....istrate for an offence under section 15(b) of the Madras General Sales Tax Act. For 1953-54 the respondents submitted a return for Rs. 1,88,000 and odd, but the authorities after checking found that the turnover was Rs. 3,25,000 and odd. In this estimate of the gross turnover the authorities have included the sales tax recovered by the respondents which apparently was omitted in the return submitt....

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....s well. Under section 3(2) of the Act, a provision is made as follows: "Nothing in sub-section (1) shall be construed as authorising any officer, in assessing any dealer in the exercise or purported exercise of jurisdiction or powers conferred by the principal Act, to include in the turnover of the dealer amounts collected by him after the 1st April, 1954, by way of tax under the principal Act." ....

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....lure to pay the tax and to recover the balance of the tax due. The Fourth Presidency Magistrate who tried this case held that the proviso to section 3 will apply and therefore, the respondent is not liable to pay. Against this order of acquittal this appeal has been preferred. Two things are clear: (1) Before this Act came into force, the turnover would not include the sales tax as well. If the....

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....such collection of tax whether the Sales Tax Authorities can now call upon them to pay the excess tax and for failure of which whether there can be a prosecution. Inasmuch as under clause (2) of section 3 they cannot include the sales tax in the turnover and as under section 3(1) all orders passed and all actions taken by any officer in the exercise or purported exercise of jurisdiction or powers ....