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2020 (8) TMI 686 - HC - VAT and Sales TaxPenultimate sale - leather garments - Exemption under Section 5(3) of the Central Sales Tax Act, 1956 - purchase of raw hides and skins - exemption denied on the ground that the goods in question exported viz., leather garments were not the “same goods” as the goods purchased, viz., Raw Hides and Skins and therefore, the Assessee was not entitled to exemption under Section 5(3) of the Act - HELD THAT:- There are no details of entire chain of transactions established by the Assessee at all. Neither the details of export orders are available, nor the purchases of Raw Hides made by the Assessee directly linked to such export orders after being converted into Leather Garments is established - there are no discussion in any of the orders of authorities below passed by them and placed. The mere claim of the Assessee that the Assessing Authority had initially allowed such exemption under Section 5 (3) of the Act upon due scrutiny of the transactions is not acceptable, because the finding of facts with regard to inextricable link between the sale or purchase claimed to be exempted under Section 5(3) of the Act and the export has to be established by the Assessee by leading evidence. Since such findings are not available, it cannot be held that the Assessee is entitled to such exemption under Section 5(3) of the Act, nor the order of the learned Tribunal or the Assessing Authority, allowing such exemption without the facts being fully and properly examined with due scrutiny by the Assessing Authority, can be sustained. The matter deserves to be remanded back to the learned Assessing Officer for passing fresh orders after giving an opportunity of hearing to the Assessee and allowing him to lead requisite evidence to establish such inextricable link between the sale or purchase of the raw hides and skins in question and the export of leather garments or Dressed Hides and Skins by the Assessee - Petition allowed by way of remand.
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