This appeal has been preferred by the Public Prosecutor against an order acquitting the accused (respondent) of the charge for failure to pay the sales tax due from him within the time allowed, an offence punishable under section 15 of the Madras General Sales Tax Act, 1939, read with section 10.

The accused was assessed on a turnover of Rs. 1,25,000 during the year 1944-45 and the notice calling upon him to pay the tax was received by the accused on 5th January, 1946. He was given 21 days’ time for payment. On failure to pay, this prosecution was initiated against him by the Assistant Commercial Tax Officer, Chittoor.

The plea of the accused was that he transacted the business in question only in the capacity of an agent and not as a" dealer" and that therefore he was not liable to pay the tax. This plea was accepted by the Additional First Class Magistrate, who held that the accused only acted as broker or commission agent who brought the seller and the buyer together. The Government has preferred this appeal primarily to get a decision from this Court whether the view taken by the Additional First Class Magistrate is the right one.

There can be little doubt that when the