2010 (10) TMI 1134 - HC - VAT and Sales Tax

Summary

Issues involved: Assessment year 2003-04, works contract, sales within the State of U.P., Tribunal's findings, remand order.

In this case, the assessee filed a revision against the Tribunal's order dated 30.5.2007 for the assessment year 2003-04. The dispute arose from a contract between a Russian company and the National Highway Authority of India (NHAI) for road construction. The assessee contended that the supplies made were specific to the contract between NHAI and another company, CDS. However, the standing counsel argued that the supplies were sales within the State of U.P. based on a survey conducted at the assessee's business place. The Tribunal concluded that the goods were indeed U.P. sales without thoroughly examining the contracts in question. The High Court set aside the Tribunal's order and directed a remand for further examination of the contracts to determine the nature of the supplies in relation to the NHAI-CDS contract. Any amount deposited by the assessee shall remain subject to the final orders, and no further recovery shall be made until the remand matter is decided.