Court : Supreme Court of India
Reported in : AIR1972SC378; (1974)3CTR(SC)209; (1972)4SCC468; [1972]1SCR982; [1972]29STC294(SC)
K.S. Hegde, J.1. The respondent original plaintiff (which will hereinafter be referred to as the plaintiff) is a company having its registered office at Calcutta. It was a registered dealer under the Bihar Sales Tax Act, 1947 (in brief the Act). On or about December 14, 1953, the plaintiff issued a cheque to the defendant-appellant for a sum of Rs. 10,000/-drawn on the Oriental Bank of Commerce Ltd., Calcutta towards the sales tax due from it for the years 1950-51, 1951-52 and 1952-53. That cheque was sent to Calcutta for encashment and encashed at that place. On September 25, 1954, the Assistant Superintendent of Sales-tax passed assessment orders in respect of the years mentioned earlier. According to those orders, the plaintiff was liable to pay sales tax amounting to Rs. 2803/2/-in respect of the year 1950-51; Rs. 3670/5/-for the year 1951-52; Rs. 4623/6/-for the year 1952-53, thus a total of Rs. 11,096/13/-. As seen earlier, it had already paid a sum of Rs. 10,000/-earlier. On Jul...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1972SC404; [1972]84ITR466(SC); (1971)3SCC669; [1972]1SCR1000
K.S. Hegde, J.1. The appellant, Venugopala Varma Rajah is the present Rajah of the Vengunad Swaroopan in Palghat District, Kerala State. He is the Karnavan of his Tarwad. He wilt be hereinafter referred to as the assessee. The predecessor of the appellant, as the then Karnavan of the family, submitted the return for the assessment year 1959-60 under the Kerala Agricultural Income-tax Act (which will hereinafter be referred to as the Act) showing a gross income of Rs. 1,21,912/-and a net income of Rs. 84,065/60 P. That represented the income from the properties held by him under the family Karar dated May 29, 1909. The Agricultural Income-tax Officer overruling the objection of the assessee included in the income returned, the income of the properties which had been put in possession of the junior members of the family under the aforementioned Karar of 1909. The net income so computed was Rs. 2,32,957/-and a tax of Rs. 1,30,672/35 P. was imposed. In appeal the Appellate Authority exclud...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1972SC401; (1972)4SCC505; [1972]1SCR1010; [1972]29STC201(SC)
A.N. Grover, J.1. This is an appeal by certificate from a judgment of the Allahabad High Court in which the main point involved relates to the provisions of Section 9 of the U.P. Sales Tax Act, 1948, hereinafter called the 'Act'.2. The facts lie in a narrow compass. Lalta Prasad Khinni Lal a Hindu undivided family which is the assessee carried on business of manufacturing oils. For the assessment year 1963-64 it was assessed to sales tax under the Act by an order dated July 28, 1965. The assessee had been filing its quarterly returns and had deposited a sum of Rs. 3,153.01 which was the admitted amount of its tax liability. The Sales tax Officer, however, made an assessment enhancing the turnover which resulted in increase of the amount of tax. The assessee filed an appeal on October 21, 1965 which was three days before the period of limitation prescribed for filing the appeal was to expire. There was some difficulty about encashment of a cheque which had been deposited along with the ...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1971SC2513; [1972]84ITR370(SC); (1972)4SCC435; [1972]1SCR934
K.S. Hegde J.1. One K.C. Sreemanavikraman altos Eattan Raja was the Zamorin of Calicut. He was a Sthanamdar. In respect of the sthanam property, he was liable to pay agricultural income-tax under the Kerala Agricultural Income-tax Act, 1950 (in brief the Act) for the period from November 1, 1956 to March 31, 1958. Sreemanavikraman Raja died on May 2, 1958. Thereafter on May 12, 1958, Sthanam Properties (Assumption of Temporary Management and) Control) and Hindu Succession (Amendment Act 1958), Act 28 of 1958 came into force. After the death of Sreemanavikraman Raja, the sthanam property was taken possession of by Kunhammaman Raja claiming to be the succeeding sthanamdar. In respect of the assessment due for the period November 1, 1956 to March 31, 1958, Kunhammaman Raja was assessed to tax as the successor sthanamdar. The said kunhammaman Raja died on December 23, 1960 without making any payment. Thereafter the next senior most member in the Zamorin family, P.C. Cheria Kunjunni Raja to...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1971SC2392; [1972]83ITR162(SC); (1971)2SCC909; [1972]1SCR961; 1972(4)LC470(SC)
A.N. Grover, J.1. This is an appeal by special leave from a judgment of the Kerala High Court in which a question of substantial importance arises relating to the extent of the property that attracts Estates Duty on the death of a Sthanee or Sthanamdar in a Hindu family governed by the Marumakkattayam law.2. It may be mentioned that Civil Appeal No. 1137/69 was brought to this Court by certificate against the same judgment but the certificate is defective for want of reasons and has therefore to be revoked.3. One K.K. Thampan who was the third Sthanomdar of Kuthiravattathu Family died on May 17, 1960. The Sthanam owned several properties such as forest lands, agricultural lands, buildings etc. The deceased also owned several properties in his personal capacity. After his death a suit for the partition of the Sthanam was filed in a civil court by the various members of the Tarwad. The appellant before us was appointed a Receiver of the properties covered by the third Sthanam on which th...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1971SC2396; [1971]82ITR835(SC); (1972)4SCC451; [1972]1SCR970
H.R. Khanna, J.1. This judgment would dispose of two Civil Appeals Nos. 2083 and 2084 of 1970 which have been filed on certificate granted by the Calcutta High Court and are directed against the judgment of that Court whereby it answered the questions referred to the Court under Section 66(1) of the Indian Income-tax Act, 1922 (hereinafter referred to as the Act) for two assessment years against the assessee-appellant and in favour of the respondent.2. The assesses is a Limited Company and the. matter relates to the assessment years 1956-57 and 1957-58, the corresponding accounting years for which ended on June 30, 1955 and June 30, 1956 respectively.3. The appellant Company was appointed as the Managing Agent of Shree Ramesh Cotton Mills Ltd., Morvi (hereinafter referred to as the managed company), as per agreement dated 30-12-1946. The managed company was a 100% subsidiary of the appellant company. Under the terms of the agreement, the appellant company was entitled to receive a fixe...
Tag this Judgment!Court : Supreme Court of India
Reported in : (1972)4SCC502
K.S. HEGDE, J.1. This is an appeal by special leave. It is directed against the decision of the Allahabad High Court in a writ petition under Article 226 of the Constitution. The petitioner was assessed to tax under the U.P. Sales Tax Act sometime in 1949 in respect of the Assessment Years 1948-49 and 1949-50. He did not go up in appeal against those orders. He accepted the orders of assessment and in compliance thereof, he paid the tax payable under those orders.2. On January 24, 1956, he filed the writ petition which has given rise to this appeal. Therein, he challenged the validity of the tax imposed on him. He further prayed for an order directing the State of U.P. to refund the tax collected from him. The learned Single Judge, before whom the writ petition came, dismissed the same on three grounds viz. (1) the orders impugned were made prior to January 26, 1950, and hence their validity cannot be challenged under Article 226 of the Constitution; (2) even according to the petitione...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1971SC2399; (1971)2SCC747; [1972]1SCR940; [1972]29STC169(SC)
K.S. Hegde, J.1. The appellant-firm are wine merchants, carrying on business at the Mall in Simla. In the auction for sale of the Indian made foreign liquor and beer held on March 31, 1967, the appellant was the highest bidder for dealing in liquor under a L-2 licence as provided in the Punjab Liquor Licence Rules as applicable to certain parts of the then Union Territory of Himachal Pradesh. The case for the appellant is that at the time of the auction,, Deputy Commissioner, Simla who is also the Collector of Excise and Taxation, announced that no sales tax will be liable to be paid on the sale of the Indian made foreign liquor and beer but despite this assurance the Government has levied and collected from the appellant firm a sum of Rs. 26,798/26 P. and further it is taking steps against the firm for realising sales tax on the liquor and beer sold by it. Hence it filed a writ petition in the Delhi High Court (Himachal Pradesh Bench at Simla) seeking various reliefs. Several contenti...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1972SC391; [1971]82ITR794(SC); (1972)4SCC402; [1972]1SCR950
A.N. Grover, J.1. This is an appeal from a judgment of the Gujarat High Court. Originally an appeal (C.A. 1993/68) had been brought by certificate but that certificate was found to be defective as no reasons were stated therein for granting it. A petition for special leave, was, therefore, filed and the same has been granted. Both the appeals shall stand disposed of by this judgment. The assessee is a registered firm and carried on the business of commission agency and general merchants. It also does forward business. It is a member of the Saurashtra Oil and Oilseeds Association Ltd., Rajkot. During the assessment year 1958-59 the corresponding accounting period being the samvat year 2013 the assessee claimed to have incurred a loss of Rs. 3,40,443/-in certain transactions entered into with different people for the supply of groundnut oil. The transactions, according to the assessee, were non-transferable ready delivery contracts entered into with non-members of the Association. It was...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1971SC2389; [1971]82ITR788(SC); (1971)2SCC754; [1972]1SCR927; 1971(4)WLN96
A. N. Grover, J.1. These appeals by certificate from a judgment of the Rajasthan High Court involve a common question relating to the computation of capital gains in respect of sale of certain shares.2. It is necessary to refer to the facts in Civil Appeal No. 2039/ 68 only. The assessee is a company incorporated under the Indian Companies Act 1956 having its registered office at Jaipur. For the assessment year 1962-63 relevant to the previous year ending March 31, 1962 the assessee filed its return before the Income-tax Officer, Company Circle No. 1, Jaipur. On March 29, 1949, the assessee had acquired 12,000 ordinary shares of the Orient Paper Mills of the face value of Rs. 10 each. On this holding it received 12,000 bonus shares on or about April 28, 1951. It again received 60,000 bonus shares on or about June 4, 1954 and further acquired 25,200 right shares on June 26, 1961 It sold 22,000 shares during the assessment year 1962-63. It is common ground that these shares which were so...
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