MC DOWELL & COMPANY LTD. ETC. vs COMMERCIAL TAX OFFICER, VII CIRCLE, HYDERABAD ETC.

The Supreme Court held that excise duty and countervailing duty paid directly by buyers of Indian liquors do not constitute part of the turnover of the manufacturers under Section 2(1)(s) of the Andhra Pradesh General Sales Tax Act, 1957. The Court clarified that 'any sums charged by the dealer' refers to amounts demanded and collected by the dealer, which was not the case here as the duties were paid directly to the Treasury by the buyers. Consequently, the appeal was allowed, overturning the High Court's dismissal of the writ petition against the Sales Tax Officers' orders.