1984 (11) TMI 309

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....ction 61(1) of the Bombay Sales Tax Act, 1959 (hereinafter referred to as "the said Act"). The question referred to us for determination is as under: "Whether on the facts and in the circumstances of this case, the Tribunal was correct in law in holding that the extent of contravention of the recitals of form 15, should be determined on the basis of prudent man's theory and not on pro rata basis....

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.... tune of Rs. 47,98,580 while goods to the tune of Rs. 6,08,403 were despatched by the respondent to its branches outside the State without sale in the State of Maharashtra. The respondent was unable to show to the satisfaction of the Sales Tax Officer that the goods purchased on form No. 15 were exclusively used by it in the manufacture of goods which were sold within the State of Maharashtra as r....

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....n on form No. 15 were sufficiently large so as to cover the branch transfers, and hence it could not be said that the respondent had contravened the recitals of form No. 15. A Special Bench of the Tribunal upheld this contention of the respondent. The Tribunal proceeded on the assumption that the respondent as an. assessee, being a man of business and knowing the tax law in force would so manage h....

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....tion 14(3) of the said Act. Sub-section (3) of section 14 of the said Act provides that when a question arises whether the turnover of purchases made by an assessee against certificates given by him under section 11 or 12 of said Act is liable to be included in his taxable turnover of purchases, it is for the assessee to prove that it is not liable to be so included. When the assessee fails to dis....