CST not payable If movement of goods from one state to other occasions export

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...