https://www.taxtmi.com/caselaws?id=785467 Where contractual documents show an inextricable nexus between the customer order, the import and the ultimate sale, the transaction qualifies as a sale in the course of import and is exempt under Section 5(2) of the Central Sales Tax Act, 1956. The Kerala HC held that the purchase order restricted supply to the foreign supplier, the corresponding order and invoice linked the Indian customer to the import, and filing of the Bill of Entry did not break that chain. The court also held that penalty under Section 67 of the Kerala Value Added Tax Act, 2003 was unsustainable because the transaction was disclosed in the return, the exemption claim was bona fide, and there was no suppression or concealment. en-us Thu, 15 Jan 2026 00:00:00 +0530 Sat, 24 Jan 2026 08:39:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=785467 Where contractual documents show an inextricable nexus between the customer order, the import and the ultimate sale, the transaction qualifies as a sale in the course of import and is exempt under Section 5(2) of the Central Sales Tax Act, 1956. The Kerala HC held that the purchase order restricted supply to the foreign supplier, the corresponding order and invoice linked the Indian customer to the import, and filing of the Bill of Entry did not break that chain. The court also held that penalty under Section 67 of the Kerala Value Added Tax Act, 2003 was unsustainable because the transaction was disclosed in the return, the exemption claim was bona fide, and there was no suppression or concealment. Case-Laws VAT / Sales Tax Thu, 15 Jan 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=785467