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TMI Blog2023 (4) TMI 344X X X X Extracts X X X X X X X X Extracts X X X X ..... tax invoices reflected that the goods were manufactured in Maharashtra and movement of goods had occasioned from Maharashtra to Karnataka pursuant to the Purchase Order. It is further held by the Hon'ble Single Judge that it is discernable that supply of Elevators from the manufacturing unit at Thane in Maharashtra falls within the ambit of Section 3(a) of the CST Act. It is not in dispute that the decision in STATE OF KARNATAKA AND OTHERS VERSUS ECE INDUSTRIES LIMITED [ 2004 (11) TMI 518 - KARNATAKA HIGH COURT ] , has been accepted by the Revenue. It is also not in dispute that the assessee has taken over ECE Industries Ltd. Therefore, Revenue is bound by the said decision. Maintainability of appeal - Availability of alternat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Hence, this appeal. 3. Briefly stated the facts pleaded in the lead case W.P. No.13607/2017 and connected petitions , are petitioner-assessee, engaged in supply, erection and commissioning of lifts and elevators all over India is a registered dealer under the Karnataka Value Added Tax Act, 2003 ('KVAT Act' for short) and Central Sales Tax Act, 1956 ('CST Act' for short). Assessee entered into several agreements for supply, erection and commissioning of lifts and elevators with several customers during the assessment period in question. The assessee also provides free maintenance service for the elevators supplied and installed at the customer's premises for a period of twelve months. The agreement/contract has been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ot be split into separate contracts; the Hon'ble Supreme Court of India in Kone Elevators Private Limited Vs. State of Tamil Nadu 2014 (7) SCC 1 , has held that the contract of supply, installation and commissioning of elevators has to be treated as 'works contract' under the Sales Tax law and the authority in State of Karnataka v. ECE Industries Ltd 2006 144 STC 605 is not applicable; The assessee has made an attempt to split the composite contract of turnkey project into one for supply of materials in Maharashtra and other for carrying out the subsequent work of installation, testing and commissioning in Karnataka and this is impermissible in law; 5. With these main submissions, Shri.Neeralgi prayed for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rival contentions and perused the records. 9. Undisputed facts of the case are, Purchase orders are placed by the purchasers of Elevators with the assessee's unit situated at Thane in Maharashtra. The Hon'ble Single Judge has recorded in para 16 of the impugned order that the documentary evidence viz. specimen copy of the Purchase Order, supporting transporter challans, delivery documents and the tax invoices reflected that the goods were manufactured in Maharashtra and movement of goods had occasioned from Maharashtra to Karnataka pursuant to the Purchase Order. It is further held by the Hon'ble Single Judge that it is discernable that supply of Elevators from the manufacturing unit at Thane in Maharashtra falls within the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the works contract took place in the State of Karnataka. In view of the law declared by the A pex Court in Builders Association's case [1993] 88 STC 248 and Gannon Dunkerley's case [1993] 88 STC 204 , it can be safely concluded that the principles for determining when a sale takes place in the course of inter-State trade or commerce laid down in Section 3 of the CST Act would apply equally to transfer of property in goods involved in the execution of works contract. 12. It is not in dispute that the decision in ECE Industries Ltd., has been accepted by the Revenue. It is also not in dispute that the assessee has taken over ECE Industries Ltd. Therefore, Revenue is bound by the said decision. 13. So far as the ground ..... X X X X Extracts X X X X X X X X Extracts X X X X
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