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No end state registrain required under VAT to constitute inter-state sales.
No end state registrain required under VAT to constitute inter-state sales.
A truck was detatined at ICC shambhu barriers for non-registration of supplier under Punjab VAT, the end state of inter-state sale. HC ordered to release truck as no such registration at end state is required to constitute inter-state sales. Therefore, rights granted in article 301 for freedom in sales is maintained.-900216
1. The highhandedness of certain officers at the Information Communication Center and their indulgence in unlawful activities has driven the petitioner to this Court by filing the instant petition under Article 226 of the Constitution.
2. The petitioner is a registered dealer under the Haryana Value Added Tax Act, 2003 and under the Central Sales Tax Act, 1956.
3. The petitioner is engaged in the business of manufacture and trading of Seed Cleaning and Grading Machines.
4. The petitioner sold the machine to the Punjab Agriculture University with invoice/ bill and in pursuance to Section 3 of the CST Act, the petitioner paid Central Sales Tax @ 4% as the sale was inter-state transaction.
5. Supplier's truck was detained at ICC shambhu barriers stating that supplier isn't registered under Punjab VAT, end state of inter-state sales.
6. Therefore, violated section 21(1) thereof.
7. It was also claimed that petitioner didn't paid any CST or recieved any payments from university.
8. Petitioner showed all the documents and bank gaurantees regarding the matter in question.
9. Truck isn't released even after the commencement of bank gaurantee.
10. HELD- High Court quashed the orders of detaining officer and released truck since no registration of end state is required for inter-state sales.
11. Therefore, rights granted by Inidian constitution under article 301 were maintained and aren't violated.
Case Reference - Osaw Agro Industries Pvt. Ltd. vs State Of Punjab And Ors.
