TaxTMI 
TaxTMI 
TaxTMI 
2022 (5) TMI 1113
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....espondents No.1 to 3. Shri Bhupendra Pandey, Central Government counsel for Union of India/respondent No.4. C.A.V. Order 1. Challenge to this petition is the communication/letter dated 26-07-2019 (Annexure P-1) issued by the respondent No.2-Commissioner Commercial Taxes Department, Commercial Tax-GST Bhawan, Raipur, Chhattisgarh, whereby the petitioner has been denied issuance of "C" form, which are required for procurement of Extra Neutral Alcohol (In short "ENA") and Malt Spirit utilized for manufacturing of Indian Made Foreign Liquor (In short "IMFL") used for human consumption, owing to which, the petitioner has been deprived of the concessional rate of tax levied under the Central Sales Tax Act, 1956 (hereinafter referred to as....
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....d "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, learned counsel for the petitioner has placed his reliance upon the decision r....
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.... necessary to examine the relevant provision of the CST Act, i.e. Section 2(d) of it, which provides the definition of "Goods" prior to and subsequent to its amendment. 6. Prior to its amendment, it reads as under: Section 2(d): "Goods" includes all materials, articles, commodities and all other kinds of movable property, but does not include newspapers, actionable claims, stocks, shares and securities." And, subsequent to its amendment, which came into force with effect from 05-05-2017, Section 2(d) of the CST Act provides as under:- "Goods means (i) petroleum crude; (ii) high speed diesel; (iii) motor spirit (commonly known as petrol); (iv) natural gas; (v) aviation turbine fuel; and (vi) alcoholic liquor for human consu....
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....d as under:- 95. It was also contended that the State ultimately falls back on the consideration for parting with the privilege to sell alcoholic liquors which has been the basis of series of decisions of this Court based on English and American decisions but according to the learned counsel for the petitioners this doctrine of privilege and consideration for sale of privilege also could be available to the State only in respect of alcohol or alcoholic liquors which are for human consumption. According to the learned counsel by merely widening the definition of intoxicating liquors in respective excise laws enacted by the State the ambit of authority of taxation could not be enlarged by the State Legislature when in List II Item 51 the wo....
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....e 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. A....
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....--- xxx --- (4) ---- xxx ---- xxx --- (5) ---- xxx ---- xxx --- 11. Sub-section(1) of the aforesaid provision 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 ....