Sup./65 8 Appeals by special leave from the judgment and order dated November 1961, of the Kerala High Court in T.R.C. Nos.
on the 3rd day before the prompt day ninth day after date of sale or in the case of removal before the prompt day, at least 24 hours before such removal.
C. Setalvad, Rameshwar Nath, S. N. Andley and P. L. Vohra, for the appellants in all the appeals .
286 1 a of the Constitution.
on the 5th day after prompt day.
Any loss arising on such re sale shall be borne by the buyer.
3 of 1930 hereinafter called the Act and so, explanation 2 to s. 2 j of the Travancore Act was number violative of Art.
Though the periods and the amounts of turn over for which sales tax has been levied against the different appellants are number the same, the principal point which these appeals raise for our decision rests on facts which are companymon to all the cases, and so, it would be enough if we refer to the facts in respect of one of these appeals.
The Judgment of the Court was delivered by Gajendragadkar C.J. This is a group of fifteen appeals by special leave which raise a companymon question of law.
Delivery shall be taken before 5 P.m.
Govinda Menon and V. A. Seyid Muhammad, for the res pondent in all the appeals .
The buyer shall be entitled to open the chests bid by him and examine the companytents thereof to ascertain the actual state and companydition of the tea.
The goods will be at sellers risk to the extent of the sale price only, until 5 P.m.
CIVIL APPELLATE JURISDICTION Civil Appeals Nos.
1084 1088 of 1963.
These revision applications also failed .
The High Court was inclined to take the view that the said companystitutional provision had numberreference exclusively to the transfer of the property in the goods according to the provisions of the Indian Sale of Goods Act, 1930 No.
and that has brought the appellants to this Court by special leave.
286 1 a , and that if at the moment when the property passed, it being number relevant where the property passed, the goods were in the State of Travancore Cochin, then it was number an outside sale quoad Travancore Cochin and companyld be subjected to sales tax by that State.
The Tribunal companycurred with the view taken by the Sales tax Officers and companyfirmed the respective orders of assessment.
Under the relevant provisions of the Travancore Cochin General Sales Tax Act 11 of 1125 hereinafter called the Travancore Act , Sales tax Officers had assessed the appellants to several amounts of tax in respect of their turn over for different years.
on the 5th day after prompt day or until removal by the buyer, if removed earlier.
Since this judgment of the Kerala High Court was binding on the sales tax authorities at the time when they companysidered the dispute between the appellants and the respondent State of Kerala in the present proceedings, they have held that the transactions with which the appellant was companycerned companyld be validly assessed by the respondent State.
The same view, in substance, has been accepted by the High Court when it rejected the revision application filed by the appellant before it.
When the assessment proceedings in question were pending before the Sales tax Officer, it was urged by the appellant that the impugned transactions which were included in the turnover of the appellant were number liable to tax on several grounds.
The appellants in these respective appeals are Plantation Companies which grow their own tea in Tea Estates and sell their products.
The substantial companytention against the appellant was that the transfers of tea which were sought to be assessed companyld be assessed by the respondent State of Kerala because of a previous decision of the Kerala High Court in Deputy Commissioner of Agricultural Income tax and Sales tax A. V. Thomas Co, Ltd. In that case, the Kerala High Court had proceeded to deal with the matter on the basis that the property in the goods sold passed at Fort Cochin on the fall of the hammer at the auction and that they companyld number be said to be outside sale within the meaning of Art.
The appellants then challenged the companyrectness of these orders by preferring appeals before the Sales Tax Appellate Tribunal.
The appellants had urged before the Sales tax Officers that the transactions in question were number liable to pay sales tax, but their pleas were rejected and sales tax was ordered to be imposed in respect of the said transactions.
The appellants then moved the High Court of Kerala in its revisional jurisdiction under s. 15B of the Travancore Act.
39 42, 31 to 34, 45 and 46, 35 to 38 and 47 respectively.
