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TMI Blog1976 (4) TMI 203X X X X Extracts X X X X X X X X Extracts X X X X ..... the transactions being liable to Central sales tax and, in the other, the transactions being exigible to Orissa sales tax?" 2.. The periods with which these four references are concerned are quarters ending with 30th June, 1960, 30th September, 1960, 31st December, 1960, and 31st March, 1961. The petitioner has been assessed as an unregistered dealer under section 12(5) of the Act and has been subjected to penalty. The brief facts useful for the purposes of the present proceeding are these: The National Mineral Development Corporation (briefly known as "N.M. D.C.") runs a unit of its business at Kiriburu of Keonjhar District within this State. For its business N.M.D.C. required several motor vehicles which consumed high speed diesel oil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ixing the terms. When the assessing officer issued notice to the petitioner, the assessee took the stand that the transactions were not exigible to tax under the Orissa Sales Tax Act and as they were of inter-State character, Central sales tax was payable and has been paid in Bihar. The assessing officer as also the Assistant Commissioner of Sales Tax took the view that sales took place within the State of Orissa and, therefore, the transactions were exigible to Orissa sales tax. 3.. The Tribunal while dismissing the assessee's appeals held: "..... Thus, the appellant made offer to sell petrol, high speed oil, etc., to N.M.D.C. at Kiriburu and for the convenience of N.M.D.C. even installed a petrol pump at Kiriburu. Petrol, high speed oi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssa border. We will be very pleased to give you all the assistance and supply all your requirements of petrol, high speed diesel oil and lubricants. We have a major depot at Tatanagar which is about 100 miles from Barbil. Besides, we also have a petrol and h. s. d. outlet at Barbil, through which we will be very pleased to supply your initial requirements. As Kiriburu is going to be a big project and there would be considerable number of machines at work, we take this opportunity of offering you consumer petrol and h.s.d. pumps at site and we offer to instal these at our own cost. We will provide underground tankage and pumps and charge you a nominal rent of Re. 1 per tank/pump per month. As soon as you have finalised your arrangements fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd tanks installed by the assessee for the consumer. A letter written on 7th July, 1960, by the consumer to the assessee placing orders may now be extracted: "CENTRAL STORES DEPOT No. KP-1(6)/ST/(VIII) dated 7/8th July, 1960. To M/s. Caltex (India) Limited, P.O. Bag No. 8, Jamshedpur. Supply order for petrol/hispeedol and lube oils. Dear Sirs, Kindly despatch the following items of P.O.L. at your earliest: SI. No. Item Quantity Remarks 1. Petrol 3,000 litres in sealed barrels. 2. Hispeedol 3,000 litres in sealed barrels. 3. RPM Delo 30 200 litres in non-returnable drum. 4. RPM Motor oil 30 200 litres in non-returnable drum. Thanking you, Yours faithfully, Sd/Illegible. For Asst. Controller of Stores, Kiriburu, N.M.D.C." One of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Tatanagar depot in tank lorries: (1) TGR-149 of 2-12-1960 for petrol, viz., Rs. 641.02 per kilo litre nett, exclusive of all taxes, sent under cover of our letter No. G-12/829/BVS of 2nd December, 1960. (2) KGL-265 of 29-6-1960 per hispeedol, viz., Rs. 557.13 per kilo litre nett, exclusive of all taxes, sent under cover of our letter No. G-12/20/MC of 2nd July, 1960. We would now advise you that effective from April, 1961, our prices for petrol and hispeedol have been increased by 2 nP. per kilo litre and 3 nP. per kilo litre respectively, due to revision in the railway freight structure. Accordingly, we enclose herewith our quotations No. TGR-54 of date for petrol and TGL-119 of date for hispeedol effective 1st April, 1961, for your k ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed in Bihar through pipe-lines constructed and owned by Oil India Corporation. At Barauni Refinery, the crude oil which passed through the pipes from the oil-fields of Assam was pumped into the Corporation's tanks and thereafter it was measured. After the measurements were agreed to by both the parties, the crude oil was taken delivery of by the Oil India Corporation. In Bihar, the transactions were treated as intraState sales. The court held that the movement of crude oil from the State of Assam to the State of Bihar was an Incident of the contract of sale and, therefore, the sales to the refinery at Barauni were sales in the course of interState trade. The Bihar State had no jurisdiction to tax the sales under the sales tax law of that St ..... X X X X Extracts X X X X X X X X Extracts X X X X
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