1997 (6) TMI 343

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....ecific provision contained in this regard under section 11(1) of the Act, has held against the petitioner. 2.. Section 11(1) of the Act reads as under: "11. Agents liable to pay tax.-(1) Notwithstanding anything contained in any law for the time being in force including this Act, every person who for an agreed commission or brokerage buys or sells on behalf of any principal who is a resident of the State of Karnataka shall, subject to the provisions of subsection (5) of section 5 or section 6-B be assessed to tax or taxes under this Act at the rate or rates leviable thereunder in respect of such purchase or sale notwithstanding that such principal is not a dealer or that the turnover of sale or purchase relating to such principal is less ....

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....x Officer [1996] 101 STC 302 (Kar); ILR 1995 Kar 3092, which was rendered by one of us (G.C. Bharuka, J.), it has been held to the following effect: "In my considered opinion, the submission advanced by Mr. Gandhi is obviously fallacious for more than one reason. As held by the two Division Bench decisions of this Court in the cases of B.P. Automobiles [1984] 55 STC 93 and Shantilal & Brothers [1985] 59 STC 178, the expression 'total turnover' as used under section 6-B(1) has to be necessarily read in terms of section 2(u-2) and not on computation thereof as provided under rule 6 of the Rules. Even otherwise it is well-settled that if the rules are found to be inconsistent with the provisions of the Act, the same have to yield to the latte....