The First Appellate Authority on assessees appeal held The learned Assessing Officer was number justi fied in adding back the price of companytainer in the gross turnover.
The remaining was to be taxed 2 The dealer filed a Revision before the Tribunal and companytended that the demand of sales tax payable at different rates on the calculated turnover of gunny bags was number at all warranted as numberprice had been charged for the companytain ers.
O.70 paise per hundred kilogram should have been deducted and taxed 1/2.
The price of the gunny bags was included in the companysolidated rates of price charged by the dealer.
1050 On these findings the Tribunal held We hold that the learned lower companyrts were justified in levying tax at a different rate on the turnover on account of sale of gunny bags in which the wheat products were sold.
There was an implied agreement for the sale of gunny bags between the dealer and the different purchasers to whom the wheat products were supplied.
What he should have done is to tax a portion of the taxable turnover at a different rate or in other words out of the turnover taxable under the Bihar Sales Tax Act, the price of bags calculated Rs.
The transfer of gunny bags was impliedly companyered by the companytract of sale with regard to the wheat products.
1,37,150 and assessed the same at 4 1/2 .
From the Judgment and Order dated 19.4.1974 of the Patna High Court in Taxation Case No.
He determined the taxable turnover at Rs.52,79,962 representing sale of wheat products taxable at 2 per cent.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
21 of 1970.
103 of 1975.
He found that the dealer had sold gunny bags in which wheat products had been packed and determined its turnover at Rs.
The Tribunal found The dealer transferred the property in the gunny bags, the packing material, to the purchasers for price.
Challenge herein is to the decision of the Patna High Court rendered on a reference under Section 33 1 of the Bihar Sales Tax Act, 1959.
D .N. Goburdhan and D. Goburdhan for the Respondents.
The following question was referred to the High Court for its opinion, by the Commercial Taxes Tribunal of Bihar 1049 Whether in the facts and circumstances of the case, the direction of the Tribunal to ascer tain the price of the companytainers gunny bags of wheat products sold for an all inclusive price under the provisions of the Roller Mills Wheat Products Price Control Order, 1964, for taxing the same at a higher rate of 4 1/2 is legally valid?
K. Dhingra and K.B. Rohtagi for the Appellants.
The Judgment of the Court was delivered by RANGANATH MISRA, J. This appeal is by special leave.
For the year 1964 65, the assessee, a registered dealer, under the Bihar Sales Tax Act returned a gross turnover of Rs.53,39,981 which was accepted by the assessing officer.
