9911796707
TMI Blog1992 (1) TMI 319X X X X Extracts X X X X X X X X Extracts X X X X ..... x in Orissa is correct?" 2.. From the statement of facts as drawn up by the Tribunal the following facts are apparent: M/s. Rolta Motors Ltd. (hereinafter referred to as "the assessee") carries on business in Maruti vans, cars and their spare parts and accessories. It is the authorised dealer of Maruti Udyog Limited, a Government of India Undertaking. While making assessment for the assessment year 1985-86, the Sales Tax Officer, Bhubaneswar II Circle, Bhubaneswar (hereinafter referred to as "the assessing officer"), observed that the assessee should have included the sale turnover of 46 Nos. of Maruti vans and 11 Nos. of Maruti cars, which were sold to different customers under direct billing system by the aforesaid Maruti Udyog Limited ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mulated three questions. The Tribunal has referred the question as quoted above for adjudication. 3.. A sale in the course of inter-State trade essentially has following ingredients: (i) there must be a sale of goods; (ii) goods covered by the sale must actually move from one State to another; and (iii) the sale and the movement must be part of the same transaction, both arising from the same contract or as incident thereto. A decision on the question whether a contract of sale occasioned movement of goods depends on the circumstances of each case, and the intention of parties. The word "occasions" used in clause (a) of section 3 of the Central Act, and in all the clauses of section 5 has the same meaning. It means "causes" or "is the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to any other goods or vehicles; and (v) when despatch is made, if any vehicle other than the one identified is delivered, the customer has the right to rescind the contract and vehicle in question remains property of the supplier. 4.. The department's stand was that the assessee having intervened at an intermediate stage, there was a break in the link of inter-State sale and therefore, the assessee was deemed to have made intra-State sales. The Tribunal has already considered this aspect and has found that mere presence of the assessee at an intermediate stage is of no consequence. In English Electric Company of India Ltd. v. Deputy Commercial Tax Officer [1976] 38 STC 475, the Supreme Court observed as follows: The presence of an interm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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