9911796707
TMI Blog2013 (8) TMI 53X X X X Extracts X X X X X X X X Extracts X X X X ..... petitioner are that the petitioner is a public limited company having registered office in Gujarat and Factory in Orissa involved in paper business. In November, 2003, the U.P. Forest Corporation invited tender for purchase Eucalyptus from its Sultanpur depot. Petitioner submitted its tender for purchase of Eucalyptus, informing U.P. Forest Corporation that woods will be carried to its factory located in Orissa. It was mentioned in the tender document that the petitioner shall be liable to pay CST @ 4% against Form-C. It is also the claim of the petitioner that U.P. Forest Corporation has informed the Trade Tax Department, regarding the payment of CST @ 4%. But the Department is proceeding ahead to charge the trade tax in pursuance to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... along with tender documents that wood is to be moved Raigada, Orissa by using Form-C. Thus, Central Sales Tax @ 4% is to be charged. He also submits that U.P. Forest Corporation prepared all documents in the name of petitioner where the address of Raigada, Orissa was given. He also mentioned that goods were to be moved by rail from Sultanpur to Raigada, Orissa. So, the movement was caused by sale of the goods. The said impugned circular is against the provisions of law. Hence, the Commissioner has wrongly rejected the representation of the petitioner on the incorrect facts and wrong appreciation of the law laid down by Hon'ble Apex Court as well as High Court. For this purpose, he relied on the ratio laid down in the following cases :- (i) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... when the payment was made. After hearing both the parties and on perusal of record, it appears that the petitioner has purchase the wood from U.P. Forest Corporation at Sultanpur. Tender was invited in U.P. and payment was made in U.P. Thus, the sale was completed in U.P. After the sale, it is the option of the petitioner to take the goods outside the State against Form-C or use the same in U.P. Section 3 of the Central Sales Tax Act, 1956 provides that :- "3. When is a sale or purchase of goods said to take place in the course of inter-State trade or commerce.-A sale or purchase of goods shall be deemed to take place in the course of inter-State trade or commerce if the sale or purchase- (a) occasions the movement of goods from one Stat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssa, (1976) 2 SCR 939, Hon'ble Apex Court observed that the following conditions must be satisfied before a sale can be said to have taken place in the course of interstate trade or commerce : (i) That there is an agreement to sell, which contains a stipulation, express or implied, regarding the movement of goods from one State to another. (ii) That in pursuance of the said contract, the goods in fact move from one State to another. (iii) That ultimately a concluded sale takes place in the State where the goods are sent, which must be different from the State from which the goods move." Similarly, in the case of Sakambari Udyog vs. State of Bihar, (2006) 146 STC 15 Pat., it was observed that a sale in the course of interstate trade need ..... X X X X Extracts X X X X X X X X Extracts X X X X
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