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2010 (3) TMI 1044 - KARNATAKA HIGH COURTWhen the appellant is the first seller of iron ore to a registered dealer in Karnataka is required to produce form 32, in order to claim exemption under section 5(3)(b) of the KST Act? Held that:- The production of form 32, would be applicable only to the person if a purchase tax has to be paid by such purchaser being a registered dealer under the KST Act, provided he is seeking exemption to pay the purchase tax and we are also of the opinion if the seller is required to pay the sales tax at the first sale in such circumstances seller is required to obtain form 32 from the purchaser, provided he is seeking any exemption. But in the instant case, the seller is not liable to pay the purchase tax. The purchase tax is always required to be paid by the purchaser and not by the seller. If the seller is not liable to pay the tax, the question of obtaining form 32 from the purchaser does not arise at all. This distinct has not been considered by the Additional Commissioner of Commercial Taxes. In favour of assessee.
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