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2015 Supreme(All) 4153
ALLAHABAD HIGH COURT
Bharati Sapru, J.
Trans Destination - Appellant
Versus
Commissioner, Commercial Tax - Respondent
Sales/Trade Tax Revision No. 508 of 2015
Decided On : 02-12-2015
Important Points
Subject
Taxation Law - Interstate Goods Movement
Headnote
Goods Movement - Taxation - The court found that the goods were being moved from outside the State of U.P. to outside the State of U.P. and that the item 'Zeera' was tax-free in the State of Gujarat. The court held that the demand of security for the goods was not justified and ordered the release of the goods without the demand of any security.
Fact of the Case:
The Tribunal found that the goods were being moved from outside the State of U.P. to outside the State of U.P. and that the item 'Zeera' was tax-free in the State of Gujarat. Despite this, a demand of 20 per cent of the value of the goods in cash was made.
Finding of the Court:
The court concluded that the demand of security for the goods was not justified and ordered the release of the goods without the demand of any security.
Issues: The issue was whether the demand of security for the goods, which were being moved from outside the State of U.P. to outside the State of U.P., was justified.
Ratio Decidendi: The court's decision was based on the finding that the goods were not being transacted in the State of U.P. at all, and that the item 'Zeera' was tax-free in the State of Gujarat.
Final Decision: The revision was disposed of, and the goods of the assessee were ordered to be released without the demand of any security.
For the Applicant :Sri Aloke Kumar, Advocate.
For the Opposite Party : C.S.C.
Heard learned counsel for the asseessee-revisionist and learned Standing Counsel for the respondents.
2. The Tribunal has recorded a finding of fact that the goods were being moved from outside the State of U.P. to outside the State of U.P. It also records that the item which was the 'Zeera' is a tax free item in the State of Gujarat, in spite of this, the Tribunal has made a demand of 20 per cent of the value of the goods in cash.
3. In view of the findings recorded that the goods are not being transacted in the State of U.P. at all, the demand of security is not justified. The goods of the assessee may be released forthwith without the demand of any security.
4. The revision stands disposed of.
