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Judgment
Syed Shah Mohammed Quadri, J.—The question that is canvassed in these tax revision cases, filed by the State, is whether purchase tax is leviable u/s 6-A of the Andhra Pradesh General Sales Tax Act (for short, "the Act") on the purchase of dressed chicken.
The respondents are dealers dealing in dressed chicken. The assessing authority assessed the turnover of dressed chicken to tax u/s 6-A of the Act on the ground that the dealers have purchased dressed chicken from unregistered dealers. On appeal by the dealers, the appellate authority took the view that exemption granted under G.O. Ms. No. 60 dated January 20, 1989 did not cover the purchase tax u/s 6-A of the Act and in that view of the matter, confirmed the order of assessment. The dealers went in second appeal before the Sales Tax Appellate Tribunal. The Tribunal took the view that the exemption granted under G.O. Ms. No. 60 covers purchase tax u/s 6-A of the Act and allowed the appeal of the dealers. Hence the State, in these revisions, is before us.
The learned Special Government Pleader contends that G.O. Ms. No. 60 was issued u/s 9 of the and exempted only the sales, therefore, purchase tax leviable u/s 6-A of the Act will not be covered by the exemption.
To appreciate the contention of the learned Government Pleader, it would be useful to read G.O. Ms. No. 60, dated January 20, 1989 here :
"In exercise of the powers conferred by sub-section (1) of section 9 of the Andhra Pradesh General Sales Tax Act, 1957 (Andhra Pradesh Act No. VI of 1957), the Governor of Andhra Pradesh hereby exempts from the tax payable under the said Act the sales of dressed chicken other than canned, preserved or dehydrated."
A plain reading of the G.O., extracted above, makes it clear that the Governor of Andhra Pradesh has exempted tax payable under the Act on the sales of dressed chicken other than canned, preserved or dehydrated. It is nobody''s case that the chicken in question is canned, preserved or dehydrated. It is a dressed chicken. No doubt the words used are, the Governor of Andhra Pradesh hereby exempts from the tax payable under the said Act "the sales of dressed chicken", tax leviable u/s 6-A of the Act is also tax under the Act. What is sale by the vendor of the respondent-dealers is purchase in the hands of the said dealers. Therefore, under G.O. Ms. No. 60, if the transaction of the sale by the vendor in favour of the dealers is exempted, the same transaction cannot be taxed as being purchase by the dealers-assessee''s. In this view of the matter, we confirm the order of the Tribunal and dismiss the tax revision cases, but without costs.
Petition dismissed.