J.K.RANKA,J. - (1.) BOTH theses sales tax revision petitions by the petitioner -assessee are directed against the order of the Rajasthan Tax Board dated 24/4/2003 for the assessment years 1999 -2000 and 2000 -2001 by which it decided the issue relating to freight in favour of the assesee and against the Revenue. On the issue relating to sale of Empty Gas Cylinders (for short, 'EGC') against the assessee to Reliance Industrial Infrastructure Limited (for short, 'RIIL') on the basis of a tripartite agreement by which on one hand the RIIL was purchaser (buyer) of the EGC. On the basis of the tripartite agreement, the cylinders were to be sent to Reliance Petroleum Limited (for short, 'RPL'). It has been the claim of the petitioner that the sales were made in the course of Inter State Lease transaction within the meaning of Section 3(a) of the Central Sales Tax Act (for short, 'CST Act'). It is the contention of the petitioner -assessee that the Inter State movement of goods was in pursuance of the lease agreement as goods were delivered to RPL (lessee) upon the instructions of RIIL (lessor) and since the assessee was a seller, therefore, the transaction was clearly in the nature of lease and as such, the holding of the Assessing Officer (for short, 'AO') that it is liable to tax was entirely illegal and unjustified. It was the contention that the tripartite agreement was in between RIIL, RPL and the petitioner -assessee was supplier of EGC and the purchase order and the lease agreement between the three were integrally connected as one and which could not be split from one another. It has been further contention of the petitioner -assessee that it being a supplier of the EGC was equally involved in the transaction.
(2.) THE AO, in the assessment order held that the transaction was a simple sale and merely because of an independent agreement in between RIIL and RPL and merely because the petitioner -assessee was shown as a supplier in the said agreement, it could not take benefit of a transaction in between RIIL and RPL. The AO, while holding that it is a transaction of a sale simplicitor, has come to a conclusion that the sale by the petitioner -assessee was independent of the so -called agreement between two Reliance Companies namely; RIIL and RPL and accordingly held that there is no question of treating the transaction as Inter State Lease Transaction under the CST Act.
(3.) DISSATISFIED with the said assessment and holding the same as sales/supplies to RPL and RIIL, the petitioner carried the matter in appeal before the Deputy Commissioner (Appeals) (for short, 'DC(A)'). The DC(A) also, after considering the material placed on record, dismissed the appeal of the petitioner -assessee. Dissatisfied with the dismissal of appeal, a further appeal came to be preferred before the Rajasthan Tax Board by the petitioner -assessee, who also, after analyzing the evidence on record and the tripartite agreement, came to the conclusion that the Revenue was well justified in coming to the conclusion that it was a mere sale, was in the nature of Inter State Sale could not be held to be Inter State Lease transaction thus upheld the finding of the AO as well as DC(A).;