Case Law Details
Commissioner of Commercial Taxes Vs Ramco Cements Ltd. (Madras High Court)
Use of and downloading of C Forms allowed for purchase of Petroleum, Natural Gas (PNG) and Liquor Products
Conclusion: Use of and online facility for downloading C Forms for inter-state purchase of petroleum crude, diesel, petrol, aviation turbine fuel, natural gas and liquor should not be restricted as if sale of the goods was the only criteria of registration under the CST Act, the consequent amendments would not have allowed concessional rate of tax for purchase of those six commodities for user in activities like Mining or Telecommunication Networks, where no such resale or use in manufacturing was involved. Therefore, such a right was equally available to other industries like Cement Industries and the same could not be denied to them.
Held: Revenue contended that with the enactment of the Constitutional 101st Amendment and consequential GST Laws enacted in all the States with effect from 7.2017 and the consequential amendments effected in the CST Act, 1956 also and amendment in the definition of ‘Goods’ restricting the operation of CST Act for only six commodities like Petroleum Crude, High Speed Diesel, Motor Spirit (Petrol), Aviation Turbine Fuel, Natural Gas and Liquor, the assessee Company or whoever engaged in the manufacture of Cement and other things, which were now covered by the GST Laws were not entitled to purchase such Diesel, etc. these six specified goods against the Declaration Form ‘C’ at the concessional rate on the inter-State purchases of such goods made by them and therefore, Single Judge had erred in quashing the said Circular issued by the Commissioner of Commercial Taxes on 31.5.2018 prohibiting these dealers and manufacturers of Cement, etc. from downloading Online Declaration of Form ‘C’ from the Official Website of the Department was justified. Assessees had approached the Single Judge against the aforesaid stand of the Revenue Department and the said communication and they succeeded before the learned Single Judge and aggrieved by the said Judgment and order of the learned Single Judge, the Revenue had come up in these Writ Appeals. It was held that if a Dealer had a right to sell as well the restricted six items under CST Act, one failed to understand as to how their right to purchase those goods at present time under the existing Registration Certificates could be taken away merely because they were not selling those goods. If sale of the goods was the only criteria of registration under the CST Act, the consequent amendments would not have allowed concessional rate of tax for purchase of those six commodities for user in activities like Mining or Telecommunication Networks, where no such resale or use in manufacturing was involved. Therefore, such a right was equally available to other industries like Cement Industries and the same could not be denied to them. That would result in an invidious classification in violation of Article 14 of the Constitution of India, which was neither envisaged nor was called for. Therefore, the contentions raised on behalf of Revenue were not sustainable t0. Revenue Authorities were directed not to restrict the use of ‘C’ Forms for the inter-State purchases of six commodities by the assessees and other registered Dealers at concessional rate of tax and they were further directed to permit Online downloading of such Declaration in ‘C’ Forms to such Dealers.
FULL TEXT OF THE HIGH COURT ORDER /JUDGEMENT
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I HAD SOLD GOODS TO OTHER PARTY IN THE PERIOD 2017-2018 OUT SIDE FROM RAJASTHAN .I WANT TO DOWNLOAD C FORM WHICH OTHER PARTY ISSUED IN FEVOUR OF ME.DATED10/04/2017