2026 (6) TMI 521

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....ICE R. MAHADEVAN For the Appellant(s): Mr. N Venkataraman, A.S.G., Mr. V. Chandrashekara Bharathi, Adv., Mr. Mukesh Kumar Maroria, AOR. For the Respondent(s): Mr. Kavin Gulati, Sr. Adv., Mr. Shankey Agrawal, AOR, Mr. Harsh Shukla, Adv., Mr Siddharth Agrawal, Adv., Mr. Nitin Dhatarwal, Adv. ORDER 1. This appeal arises from the judgment and order passed by the High Court of Delhi dated 3....

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....the relevant portion of the Supreme Court decision wherein the Supreme Court observed that the purpose behind Section 6(2) was to avoid the cascading effect of multiple taxation. A reading of the said portion of the Supreme Court decision only indicates that where the first sale is taxed, the second sale would be exempted because of the object of avoiding the cascading effect. However, the Supreme....

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.... and it was held that the Parliament wanted to tax the second and subsequent sales, if they did not fall within Section 6(2), even where the first sale of such goods was exempted by virtue of Section 8(2A). The ratio of the said decision, to our minds, is that the conditions of Section 6(2) have to be fulfilled before a dealer can claim exemption under the said provision, irrespective of the fact ....

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....ince the impugned orders have not examined the question of availability of exemption to the petitioner in terms of the conditions specified in Section 6(2) of the CST Act and had rejected the petitioner's claim merely on the ground that since the first sale was exempted, the second and subsequent sale cannot be exempted from the CST Act, we find that the right course to follow would be to set ....