1977 (8) TMI 134

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....ides that no law of a State shall impose, or authorise the imposition of a tax on the sale or purchase of goods, where such sale or purchase takes place in the course of the import of the goods into, or export of the goods out of, the territory of India. By the Sixth Amendment to the Constitution which came into force on September 11, 1956, an amendment was made to clause (2) of article 286, by which Parliament was given the power by law to formulate principles for determining when a sale or purchase of goods takes place in any of the ways mentioned in clause (1). Acting in pursuance of this power, the Parliament enacted section 5(1) of the Central Sales Tax Act, 1956, providing that a sale or purchase of goods shall be deemed to take place....

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.... for the goods to be put on board the ship by the respondents; (d) The respondents were to mark the goods with the shipment marks specified by the purchasers in the letter;   (e) Due to import restrictions in Indonesia, the respondents were to ship not more than 500 imperial gallons of linseed oil; and finally, (f) The "export" was "to be made" under the export licence of the respondents. Mr. Shankar Ghosh, who appears on behalf of the respondents, has raised a variety of interesting points, which, in our opinion, have lost their validity and relevance in view of a Constitution Bench decision of this Court in Mod. Serajuddin v. State of Orissa [1975] 36 S.T.C. 136 (S.C.); [1975] Supp. S.C.R. 169. A catena of decisions beari....

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....en the Netherlands Organisation and their foreign buyer and not the sale between the respondents and the Netherlands Organisation. The export was occasioned by the contract of sale between the Netherlands Organisation and their own buyer and not by the contract of sale between the respondents and the Netherlands Organisation. (5) The bill of lading was indisputably made out in the name of the Netherlands Organisation which obtained a complete and indefeasible title to the goods purchased by them from the respondents in India. (6) There was no obligation either on the respondents or on the Netherlands Organisation to export the goods out of India. (7) Respondents put the goods sold by them to the Netherlands Organisation on board th....