JUDGEMENT
B.P.JEEVAN REDDY,J. -
(1.)THE petitioner is a registered dealer in Andhra Pradesh. He is engaged in executing works contracts in which he uses cement, steel, etc. He purchase cement, steel, etc. , from out-State registered dealers. Central sales tax is payable on these transactions. The petitioner says that if he sends a "c" form to the selling dealer, he will be entitled to a concessional rate of tax. He says, when he applied to the authorities for supply of "c" forms, it was refused on the ground that so long as section 8 (3) (b) of the Central Sales Tax Act, 1956, is not amended, "c" forms cannot be supplied to the petitioner. The petitioner says that the certificate of registration issued to him, a copy of which is filed in the material papers, mentions cement, steel, bricks, wood, iron doors, corch sheet, tarbelt, iron windows, nuts and bolts, machinery, spare parts of machinery, etc. , and therefore he is entitled to be supplied with "c" forms. Counsel also submits that the correct or incorrect use of "c" forms is not a question to be gone into at the time of supply of "c" forms, and that whether a particular "c" form has been correctly used or not arises for consideration only at a later stage.
(2.)SECTION 8 (3) (b) so far as it is relevant, reads as follows : " (3) The goods referred to in clause (b) of sub-section (1) :
(b) are goods of the class or classes specified in the certificate of registration of the registered dealer purchasing the goods as being intended for resale by him, or subject to any rules made by the Central Government in this behalf, for use by him in the manufacture or processing of goods for sale or in mining or in the generation or distribution of electricity or any other form of power.
A reading of clause (b) shows that the goods specified in the certificate of registration of the registered dealer purchasing the goods may be intended either (1) for resale by him or (2) subject to any rules made by the Central Government in this behalf to be used by him in the manufacture or processing of goods for sale or in mining or in the generation or distribution of electricity or any other form of power. In this case, the petitioner says, the goods are meant for resale. The certificate of registration also shows that the said goods are meant for resale. Learned counsel also points out - and rightly in our opinion - that after the Forty-sixth Amendment to the Constitution, the good used in executing work contracts are deemed to be sold and therefore there is a sale of the material used in execution of the works contracts. Be that as it may, as stated above, the question whether a particular "c" form has been issued rightly or wrongly is not a question which is relevant at this stage. We are concerned at this state only with the supply of "c" forms to the petitioner by the commercial tax authorities.
(3.)ACCORDINGLY the writ petition is allowed. The authorities shall supply the requisite number of "c" form according to the Rules, as and when applied by the petitioner. No costs. Advocate's fee Rs. 150. Writ Petition allowed.
Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.