Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2012 (6) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2012 (6) TMI 760 - ANDHRA PRADESH HIGH COURTLevy CST on the total turnover which included direct export sales as well - requiring to produce H forms - Held that:- If the sale of goods is by way of export out of territory of India, it is not exigible the moment the transfer of documents of title to the goods is complete, i.e., after the goods crossed the customs frontiers of India. In addition to this, as per section 5(3) of the CST Act, the last sale or purchase of any goods preceding the sale or purchase occasioning the export of goods out of the territory of India shall be deemed to be export sale, if such sale took place for the purpose of complying with the agreement or order with relation to such export. When the export sales are not exigible under the CST Act, requiring to produce H forms which is relevant in the context of situation under section 5(3) would be unauthorised. Any assessment under such wrong premise would also be unauthorised by law. Be it reiterated that export sale is not in the course of inter-State trade or commerce and levy of tax thereon is unsustainable. In all matters, the CTO misdirected himself and passed the assessment orders. A misdirection in law is a jurisdictional error, and therefore, the impugned assessment orders cannot be sustained. They are liable to be set aside.
|