Supreme Court of India · 1985-04-17
Mc DOWELL & COMPANY LIMITED vs THE COMMERCIAL TAX OFFICER
- Citation / case number
- SC 1983/65945
- Court
- Supreme Court of India
- Petitioner
- Mc DOWELL & COMPANY LIMITED
- Respondent
- THE COMMERCIAL TAX OFFICER
- Bench
- CHANDRACHUD, Y.V. ((CJ),DESAI, D.A.,REDDY, O. CHINNAPPA ,VENKATARAMIAH, E.S. ,MISRA RANGNATH
Judgment text excerpt
The Supreme Court upheld the High Court's decision that the primary liability to pay excise duty under amended Rule 76(a) and Rule 79(1) of the A.P. Distillery Rules rests with the holder of the D-2 licence. The Court clarified that excise duty paid by buyers of the appellant's liquor is part of the appellant's turnover for sales tax purposes. The appeal was dismissed, and the correctness of a previous decision was referred to a larger bench, indicating a significant legal principle regarding tax liability and avoidance.