TaxTMI 
TaxTMI 
2011 (2) TMI 1313
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....site party No. 3 for issuance of 5 folios of C forms. On being asked by opposite party No. 3, the petitioner submitted the details of purchase made by it for which it required statutory declaration form C. However, opposite party No. 3 was not satisfied with the explanation furnished by the petitioner and on May 28, 2010 he rejected the petitioner's application for issuance of declaration form C. The petitioner being aggrieved by the said order dated May 28, 2010 passed by opposite party No. 3 approached this court in W.P. (C) No. 10618 of 2010 for necessary redressal and the said writ petition was disposed of on July 22, 2010 with a direction to the petitioner to avail of the remedy before the revisional authority provided under section 79 of the VAT Act read with rule 22 of the CST (Orissa) Rules. In pursuance of the aforesaid direction, the petitioner filed revision petition before opposite party No. 2 challenging the order passed by opposite party No. 3. Opposite party No. 2 vide the impugned order dismissed the revision petition and confirmed the order passed by opposite party No. 3 holding that the petitioner is not entitled to C forms for the reasons stated in the said o....
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....itioner the goods moved out of the State of Jharkhand through Railway and are delivered at the prescribed port on account of MSPL. The sales between M/s. Saha Brothers and the petitioner are inter-State sale. The sale between the petitioner and the MSPL are also inter-State sale. A plain reading of rule 12(6) of the CST (Registration and Turnover) Rules will go to establish that the petitioner is entitled to be issued with form C. The goods purchased and sold by the petitioner are not different from the iron ore which were transported through railway. Rule 6 of the CST (Orissa) Rules prescribes the procedure to be adopted for obtaining declaration in form C which the petitioner complied with. Proviso to rule 6 of the CST (Orissa) Rules provides issuance of C form to a registered dealer may be refused who has failed to comply with the order demanding security or additional security. The second proviso stipulates that second or subsequent supply of declaration form C shall not be made to any dealer unless he furnishes to the Sales Tax Officer a true copy of the accounts certified by him under his signature of the form last supplied to him. These are the requirements for the purpose o....
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....f the CST Act which is evident from the certificate of registration (annexure 2 series). On this solitary ground his petition is liable to be dismissed. The petitioner having been registered under section 7(2) of the CST Act it is not entitled to effect inter-State sale as claimed by it in paragraph 9 of the writ petition. Placing reliance under section 3(b) of the CST Act, it is submitted that a sale or purchase of goods shall be deemed to take place in course of inter-State trade or commerce if the sale or purchase is effected by transfer of documents of the title to the goods during their movement from one State to another. Relying on the documents annexed under annexure 4 it is argued that MSPL Limited is both the consignor and the consignee. Therefore, it cannot be said that there was inter-State transaction between the petitioner and Saha Brothers and between the petitioner and MSPL Limited. Mr. Kar, further submitted that a purchase or sale in order to be inter-State sale/purchase, the goods in question must move from one State to another. The goods in question stated to have been purchased from M/s. Saha Brothers, Jharkhand have not moved to Orissa. Therefore, the same cann....
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....ssa) Rules provides that the registered dealer, who wishes to purchase goods from any such dealer on payment of tax at the rate applicable under the CST Act on sales of goods by one registered dealer to another for the purpose specified under the certificate of registration shall obtain on application declaration forms for furnishing them to the selling dealer. In view of above statutory provisions, it is the statutory right of a dealer registered under section 7(2) of the CST Act to be supplied with declaration form C to avail of concessional rate of tax against the purchase of goods from outside the State. The second question is with regard to the legality and validity of the order passed by opposite party Nos. 2 and 3 refusing to issue C forms to the petitioner. The petitioner's case is that opposite party Nos. 2 and 3 are not justified in refusing to issue C forms to the petitioner on the ground that the transaction between the petitioner and M/s. Saha Brothers, Jharkhand are not inter-State in nature. According to the petitioner, by virtue of being a dealer registered under section 7(2) of the CST Act, it is entitled to be supplied with declaration form C which is a stat....
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....re independent of each other in the sense that there is no movement of goods to State of Orissa in pursuance of contract if any between M/s. Saha Brothers, Jharkhand and the petitioner. Further the case of the Revenue is that the goods sold by M/s. Saha Brothers, Jharkhand were mixed dump of iron and goods transported in railways were iron ore and the goods sold by the petitioner to M/s. MSPL Ltd. were iron ore mines and do not qualify for exemption as provided under section 5(3) of the CST Act as both the goods are not same goods. The revisional authority in his order referring to various provisions of the CST Act and the judicial pronouncements, held that the sale between M/s. Saha Brothers and the petitioner was not an inter-State sale as there is neither transfer of document by the dealer to MSPL Ltd., nor there is movement of goods in pursuance of the sale if any between M/s. Saha Brothers and the petitioner. The sale in question was from outside State to outside State. The petitioner is the first seller in the State of Jharkhand after purchasing the goods in Jharkhand. Transaction in order to be inter-State transaction must come from one State to another. As the goods have no....