TMI Blog2018 (12) TMI 148X X X X Extracts X X X X X X X X Extracts X X X X ..... 6 also would not help the assessee. As per the said proviso, irrespective of the provisions contained in Sub-section 1 a dealer would not be liable to pay tax on any sale of goods on sale in course of export of the goods out of the territory of India. In order to claim this benefit, therefore, the sale had to be export sale of goods travelling out of territory of India. The Tribunal, therefore, correctly did not accept this contention. The interplay of the provisions of the Sub-section 3 and Sub-section 1 of Section 6, in the present case would lead to some what harsh consequences. However, when the provisions of law are clear, the consequences cannot be avoided - appeal dismissed. - MAHARASHTRA VALUE ADDED TAX APPEAL NO.24 OF 2018 WIT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uch organisations (including WHO), where it is established that goods were supplied by the Appellants to WHO? iii. Whether denying the benefit of nonlevy of Central Sales tax in respect of subject transaction under Section 6(3) of the Act is inconsistent with India's commitment under the United Nations (Privileges and Immunities) Act, 1947, ('the UN Act') and, Agreement dated 9th November, 1949 between WHO and the Government of India, and, therefore, in the facts and circumstances of the present case, no Central Sales tax ought to have been levied? 4. Though three separate questions have been framed by the assessee, issue is one namely of the liability of the assessee to pay sales tax on its sale of a drug called Albe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be an export sale, the goods must leave the country for export which in the present case had not happened. 7. Assailing the judgment of the Tribunal, learned counsel for the appellant strenuously urged that a true and purposive interpretation of Section 6 of the CST Act was required to be adopted by the Tribunal. In the present case, it is not in dispute that the drugs were ultimately received by WHO in India. It was only because it was the GSK, U.K. which had a contract with WHO for supply of such drugs, that the billing had to be done by the assessee in the name of GSK, U.K.. He submitted that WHO has issued necessary certificate in form J which would establish that the drugs were received by WHO. He, therefore, argued that in terms ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Sub-section 1 of Section 6Liability to tax on inter-State sales-Subject to the other provisions contained in this Act, every dealer shall, with effect from such date as the Central Government may, by notification in the Official Gazette, appoint, not being earlier than thirty days from the date of such notification, be liable to pay tax under this Act on all sales (of goods other than electrical energy) effected by him in the course of inter-State trade or commerce during any year on and from the date so notified: (Provided that a dealer shall not be liable to pay tax under this Act on any sale of goods which, in accordance with the provisions of Sub-section (3) of section 5 is a sale in the course of export of those goods out of the t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vides that notwithstanding anything contained in the Act, no tax under the Act shall be payable by any dealer in respect of the sale of any goods made by such dealer in the course of interState trade or commerce to any official, personnel, consular or diplomatic agent, the United Nations or any other similar International body entitled to privileges under any convocation or agreement to which India is a party or under any law for the time being in force. For the purpose of this appeal, we are prepared to accept the assessee's contention that if the sales had been made to WHO, the exemption from payment of tax in terms of Sub-section 3 of Section 6 would have been available. In the present case, as a matter of fact concurrently and if we ..... X X X X Extracts X X X X X X X X Extracts X X X X
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