1996 (2) TMI 483

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....stitution, petitioner-association deduction of sales tax and forest royalty from the bills of the members of petitioner-association and also prays for issuance of appropriate writ or direction. 2.. The facts for the purpose of disposal of this writ petition may be stated as follows: Petitioner is an association of contractors of Gauhati Municipal Corporation. This association was formed as f....

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....truction work. A meeting was held on June 13, 1990, between the representatives of association and the Commissioner of Gauhati Municipal Corporation and in the said meeting it was agreed, inter alia, that the respondent No. 1 would stop deduction of forest royalty from the bills payable to the contractors. However, the respondent No. 1 and its officers later on decided to deduct forest royalty fro....

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....ner-association, inasmuch as, the sales tax were to be payable by the dealer only and the members of the petitionerassociation not being a dealer the sales tax could not be realised from them. Being aggrieved, the petitioner-association approached this Court by filing the present writ petition. 3.. Respondents Nos. 1 and 2 have filed affidavit-in-opposition. 4.. I heard both sides. Mr. S.....

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....this Court had the occasion to consider the legality of the authority to deduct sales tax at source. This Court in the said decision held that sales tax at source can be deducted at the rate and in the manner prescribed; since the rates and manner were not prescribed this Court held that the authority had no jurisdiction to deduct sales tax at source without first prescribing the rate and the mann....