TMI Blog2022 (5) TMI 1113X X X X Extracts X X X X X X X X Extracts X X X X ..... or human consumption in its original form. Therefore, the provision prescribed under sub-section(1) (2) of Section 9 of the GST Act as tried to be implemented herein by learned counsel for the petitioner, would, however not be applicable. Sub-section(1) of Section 9 states that subject to the provisions of sub-section(2), there shall be levied a tax called the central goods and services tax on all intra-State supplies of goods or services or both, except on the supply of alcoholic liquor for human consumption. Since the ENA and Malt Spirit in its original form are not found to be fit for human consumption, as observed hereinabove, therefore, no reliance could be placed on it - In so far as the applicability of sub-section (2) of the aforesaid provision is concerned, the same is, however, also not applicable as the notification required to be issued under it, is only with regard to the supply of items mentioned in clauses (i to v) of the amended provision of clause(d) of Section 2 of the CST Act and as the ENA and Malt Spirit are not found to be alcoholic liquor fit for human consumption, therefore, it would not fall in any of the said categories and, no notification as such, i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ave denied the facility of concessional tax by declining to issue C form as required under the CST Act. It is contended further that as the ENA and Malt Spirit are used for human consumption, therefore, the petitioner is entitled for C form on purchase of such goods. However, owing to amendment in the definition of Goods provided under Section 2(d) of the CST Act, which came into force with effect from 05-05-2017 by virtue of Taxation Laws Amendment Act, 2017, dated 04-05-2017, the petitioner has been denied the said C form. While inviting attention to Section 9(2) of the GST Act, it is contended further that the Alcoholic Liquor used for human consumption has been kept away from the ambit of the levy of GST and therefore, despite amendment in the definition of Goods under CST Act, it still covers Alcoholic Liquor, which is used for human consumption for interstate purchase of it. The respondent authorities have further erred in declining the petitioner for issuance of said C form under the impugned communication/letter dated 26-07-2019 (Annexure P-1), which is, therefore, liable to be set aside, by entitling the petitioner for the same. In support of his contentions, l ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... comparison of the aforesaid provision would show that prior to amendment, all the materials, articles and commodities etc. were included under the definition of Goods with exception of newspaper, actionable claims, stocks, shares and securities and therefore, by virtue of the said definition, the alcohol of any character was also covered under the definition of Goods . However, by virtue of said amendment in the definition of Goods under Section 2(d) of the CST Act, alcohol of specified nature, i.e. alcoholic liquor for human consumption alone is covered under it. In view thereof, prior to 30-06-2017, C Form was being issued by the respondent authorities as the ENA and Malt Spirit were covered under the definition of Goods under Section 2(d) of the CST Act, but, since there was an amendment and according to it, only the alcoholic liquor for human consumption alone was covered under the said definition, as such, ENA and Rectified Spirit are not fit for human consumption in its original form, therefore, C Form has rightly been denied by the Respondent authorities. 8. At this juncture, it is to be noted the principles laid down by the Supreme Court in the matter o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for human consumption were put in Entry 51 List II authorizing the State Legislature to levy tax on them whereas alcoholic liquors other than for human consumption have been left to the Central Legislature under Entry 84 for levy of duty of excise. This scheme of these two entries in List I and II is clear enough to indicate the line of demarcation for purposes of taxation of alcoholic liquors. What has been excluded in Entry 84 has specifically been put within the authority of the State for purposes of taxation. 9. It is, thus evident, based upon the aforesaid principles, the ENA and the Malt Spirit in its original form are not the alcoholic liquor fit for human consumption and would therefore, not come within the amended definition of clause(d) of Section 2 of the CST Act and the respondent authorities have, therefore, rightly refused to issue the C Form, as claimed by the petitioner herein. 10. As observed hereinabove, based upon the principles laid down by the Constitutional Bench of the Supreme Court in the matter of Synthetics and Chemicals Ltd and others vs. State of U.P. and others (supra), the ENA and Malt Spirit are not the alcoholic liquor, which is fit for hum ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the matter of Shree Raipur Cement Plant vs. State of Chhattisgarh and others (supra), is concerned, as relied upon by learned counsel for the petitioner, the same is, however, noted to be distinguishable from the facts involved herein. As in the said matter, the question, which was taken into consideration was, as to whether the petitioner was entitled for issuance of C Form under the CST Act with regard to the item mentioned in clause(ii) of Section 2(d) of the amended Act of CST Act and for which, notification bringing the said item i.e. High Speed Diesel was required to be issued, in strict compliance of sub-section(2) of Section 9 of the GST Act, 2017 and in absence of issuance of such a notification, it was held that the petitioner cannot be denied for issuance of C Form under the CST Act with regard to the item contained in clause(ii) of the amended provision of clause(d) of Section 2 of the CST Act. The principles laid down in the said matter, therefore, clearly distinguishable from the facts involved herein and as such, no reliance could be placed upon it. 13. In view of the aforesaid background, I do not find any substance in this petition, so as to call for any i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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