TaxTMI 
TaxTMI 
2014 (10) TMI 411
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....nfirmed the judgment and orders passed by the single judge and has come to the conclusion that the assessing authority was justified in imposing additional tax under section 5D of the Kerala General Sales Tax Act, 1963 (for short, "the KGST Act"). Reported as Bhima Jewellery v. Assistant Commissioner (Assessment), Special Circle [2004] 137 STC 377 (Ker). Reported as Bhima Jewellery v. Assistant Commissioner (Assessment), Special Circle [2003] 129 STC 90 (Ker). The facts in brief are as under : The appellant is a dealer in gold and silver ornaments. It is registered both under the KGST Act and the Central Sales Tax Act, 1956. The appellant had opted to pay tax at the compounded rate as provided under section 7 of the KGST Act and the requ....
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....) Notwithstanding anything contained in sub-section (1) of section 5,- (a) Any dealer in gold or silver ornaments or wares, may, at his option instead of paying tax in accordance with the provisions of that sub-section, pay tax at one hundred and thirty per cent of the tax pay able by him as conceded in the return or accounts or the tax paid for the previous consecutive three years whichever is higher." The section begins with the phrase "notwithstanding anything con tained in sub-section (1) of section 5". The purpose is to give the provision contained in the non obstante clause an overriding effect to the provision of sub-section (1) of section 5 of the KGST Act. The said section speaks of Reported as Bhima Jewellery v. Assistant Commi....
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.... provisions under the KGST Act. Section 7 of the KGST Act provides for payment of tax at compounded rates. The appellant opted for payment of tax at the compounded rates on the sale of gold and silver ornaments for the aforesaid assessment year. Section 5D, which we have extracted earlier provides that additional tax can be levied and collected by the Revenue from a dealer who is liable to pay tax under sections 5 and 5A of the KGST Act at a particular rate. In the instant case, the dealer is not being taxed under section 5 or section 5A of the KGST Act but is paying tax at the compounded rate as envisaged in section 7 of the KGST Act and therefore will not be liable to pay additional tax under the amended provision of the KGST Act. The a....