Case Law Details
Parle Products Pvt. Ltd. Vs State of Karnataka (Karnataka High Court)
The petitioner – assessee is a manufacturer and dealer of consumer goods under provisions of the Karnataka Value Added Tax Act, 2003 and the Central Sales Tax Act, 1956 (‘CST Act’ for short). The returns in Form VAT 100 were filed by the assessee for the period under consideration i.e., 2005-06 to 2008-09. The Assistant Commissioner of Commercial Taxes (Assessing Authority) re-assessed the returns and disallowed the exemption claimed under Section 5(1) of CST Act on the ground that the petitioner had effected stock transfer and not a sale in the course of export. Being aggrieved, the petitioner preferred appeals before the First Appellate Authority who dismissed the appeals. Pursuant to which appeals were preferred before the Tribunal. The Tribunal by order dated 18.07.2011 set aside the order of the First Appellate Authority and remanded the matter back to the First Appellate Authority. The said appeals having being partly allowed, the petitioner preferred appeals before the Tribunal unsuccessfully. The review petition preferred by the assessee also came to be dismissed. Hence, the present revision petition.
In the case of State of Karnataka vs. Azad Coach Builders Private Limited and another [(2010) 9 SCC 524], the Hon’ble Apex Court has enunciated the principles relating to Section 5(3) of the CST Act as under:-
- To constitute a sale in the course of export there must be an intention on the part of both the buyer and seller to export.
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