Scope of “Turnover” : For the purpose of calculating the limit of turnover for liability
to tax,
(a) Sales turnover shall include turnover of both taxable and tax-free goods:
(b) The turnover of sales shall include all sales made by the dealer on his own
account, and also on behalf of his principals whether disclosed or not;
(c) In the case of an auctioneer, in additional to the above turnover, if any, the turnover
shall also include the price of the goods auctioned by him for his principal;
(d) In the case of an agent of a non-resident dealer, in addition to the above
turnover, if any, the turnover shall also include the sales of the non-resident
dealer effected in the State.
It may be noted that for the purpose of determining the above limits,
Taxable purchases shall include only local purchases (within the State)
Taxable sales include local sales as well as inter-state sales, exports.
A factor, broker, commission agent, an auctioneer or an agene residing in the state of
a non-resident dealer shall be liable to pay tax under this Act, irrespective of: whether
the principal is a dealer or is liable to pay tax or is disclosed or not.
One Comment