No local VAT on goods purchased inter-state or in the course of import in works contracts-SC

The Hon’ble Supreme Court delivering very important judgment with regard to taxability of inter-state works contract. In the case of Commissioner, Delhi VAT  vs ABB Ltd., it has been held that in case the goods are purchased from other States or are imported from outside the country for the purpose of only using in the works contract, then the transaction would be covered under the Central Sales Tax Act and not liable to tax under local VAT act. This judgment goes a long way in determining everyday disputes with regard to taxability of goods where the movement has started from other State...