TaxTMI 
TaxTMI 
1983 (4) TMI 245
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....e Tamil Nadu General Sales Act, for the assessment year 1970-71, the assessee disputed the liability to pay tax on the above two items of turnover. The assessing authority, however, brought the above two items of turnover to charge rejecting the assessee's claim. On appeal the Appellate Assistant Commissioner, however, upheld the assessee's claim and held that these two items of turnover cannot be brought to charge. Thereafter the Board of Revenue, in exercise of its suo motu revisional power issued a show cause notice to the assessee to show cause why the order of the appellate authority so far as it excluded the said two items of turnover from charge should not be set aside. The assessee submitted his representations. However, the Board,....
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....over is correct. Coming to the second item of turnover amounting to Rs. 2,73,092 it is seen that the assessee in this case purchased raw hides and skins locally, tanned them and sold them inter-State. Since no tax has been paid under the Tamil Nadu General Sales Tax Act on the inter-State sales of tanned hides and skins, the corresponding purchase value was sought to be taxed by the revenue. The contention of the assessee was that even though the inter-State sales of tanned hides and skins had not been taxed under the Tamil Nadu General Sales Tax Act, the same having been taxed under the Central Sales Tax Act as inter-State sales and they being declared goods, the assessee cannot be taxed over again on the purchase value of raw hides and s....
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....es and skins, and dressed hides and skins should be treated as two separate commodities for the purpose of trade and commerce and the fact that the dressed hides and skins have suffered tax under the Central Sales Tax Act, exemption cannot be claimed in respect of transactions in raw hides and skins. In Gordon Woodroffe & Company (Madras) Private Ltd. v. State of Tamil Nadu [1979] 44 STC 485 which is the assessee's own case for the earlier year, the same question has been considered. There the assessee was the last purchaser of raw hides and skins in the State, tanned them and sold such tanned hides and skins inter-State. The assessee claimed that once raw hides and skins had been converted into tanned hides and skins, the tax imposed on r....