TaxTMI 
TaxTMI 
1967 (10) TMI 59
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....assessee in a sum of Rs. 10,120.75 relates to sales of frames, nuts, tubes, rollers, wheels, etc. The assessee claimed the benefit of section 3(3), which provides for a concessional rate of one per cent. He produced a declaration in Form XVII, which has been prescribed in terms of the proviso to sub-section (3) of section 3. There is no dispute as to the factum or truth of the certificate of this ....
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....holly misapprehended the scope of sub-section (3) and the proviso thereto. It propounded the question for its consideration as whether the goods sold by the dealer as such had been used as component parts as contemplated in section 3(3). It went further and, on investigation, found that the goods supplied by the assessee underwent physical changes such as drilling of holes, sizing of thickness, et....
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....g officer himself has treated the goods sold as falling within the First Schedule. It was only on that basis he charged three per cent. There is no dispute about the second requisite being satisfied; for the purchaser is undoubtedly a dealer. The misapprehension of the department is particularly in respect of the third requisite. The assessee satisfies the requisite, if he complies with the provis....