2004 (1) TMI 365 - SC - VAT and Sales Tax

Whether any sale has occasioned by movement of goods or not?

Whether a legal fiction can be applied to determine whether a particular inter-State transaction amounted to an inter-State sale or a mere transfer of stock?

Held that:- The question as to whether the transaction in question constitutes inter-State sale or intra-State sale has been decided up to Tribunal. They have approached this Court without availing the statutory remedies provided for under the statutes. We, therefore, decline to exercise our discretion and direct that the parties may avail the remedies under the statute.

In view of our aforementioned findings, the parties may approach the High Court. If necessary, the other States wherein the local sales tax had been deposited, may be impleaded as parties so that the lis may be determined in their presence. However, in the event, in the meanwhile, any forum is created by any Parliamentary Act in terms whereof the inter se disputes between the parties vis-a-vis the claim of the assessee may be determined, they may approach the said forum.