Decided on January 31,1998



M.Ramakrishna, Chairman - (1.) THIS appeal has been filed by M/s. Polisetty Somasundaram Limited, Guntur against the orders of the Appellate Deputy Commissioner (CT), Guntur, dated 21.5.1997 in Appeal No. 9/97 -98 filed against the assessment orders of the Commercial Tax Officer, Patnam Bazar Circle, Guntur in GI No. 1593/93 -94, dated 26.3.1997. The disputed turnover is Rs. 36,22,527 -00. The disputed turnover/related to sale of REP licences. Since REP licences were held to be goods, the turnover relating to their sale was assessed to tax. It is contended before the appellate authority that the appellant sold REP licences to a dealer residing in Madras and so the sale effected in inter -State transactions were not liable to tax under the APGST Act. The appellate authority having stated that REP licences were goods liable to tax upheld the assessment and dismissed the appeal. Hence this appeal.
(2.) THE point for consideration is whether REP licences sold in the course of inter -State trade or commerce cannot be assessed to tax under APGST Act. That REP licences are goods is not contested before this Tribunal. The only contention is that since the REP licences were sold to a dealer residing outside the State of Andhra Pradesh, the sale were liable to tax under the CST Act and not under the APGST Act. At the time of hearing the authorised representative has also stated that the transactions were also covered by 'C' form. Since the transactions were inter -State sale they cannot be assessed to tax under APGST Act. In the result, the appeal is allowed and the levy of tax on the disputed turnover in the assessment is set aside. However it is open to the assessing authority to assess the dealer on the disputed turnover in the assessment under the CST Act subject to limitation and other provisions under the CST Act. Dictated to the Stenographer, transcribed by him, pronounced in the Open Court on this the 31st day of January, 1998. ;

Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.