COMMISSIONER OF COMMERCIAL TAXES Vs. INDO NATIONAL LIMITED

JUDGEMENT

(1.) Counsel appearing for the intervenor seeks permission to withdraw the intervenor application. Permission is granted. Application is dismissed as withdrawn.

(2.) The present appeals deal with the issue of payment of sales tax by the Respondent herein for the assessment years 1981-82 to 1987-88 (except 1986-87). For the assessment years 1978-79, 1979-80 and 1980-81 in respect of the same Respondent-assessee, assessments were completed by the Commercial Tax Officer excluding the branch transfers from taxation and thereby rejecting the contention of the Appellant that it could be inter-State level.

(3.) However, the Deputy Commissioner of Commercial Tax, Nellore, issued show-cause notice on November 14, 1985, proposing to treat stock transfers of the Assessee as inter-State sale. Pursuant to the aforesaid show-cause notice issued, the Deputy Commissioner revised the orders of assessment for the years 1978-79, 1979-80 and 1980-81 levying tax on branch transfers as inter-State sale. However, subsequent thereto and pursuant to the order passed by this Court, the Respondent filed appeals to the Sales Tax Appellate Tribunal. The Tribunal entertained the said appeals and by order dated June 19, 1992 allowed the appeals holding that the aforesaid transfers shall be treated as branch transfers and not as inter-State sales. Despite the said order passed by the Tribunal, even for the subsequent years, i.e., for the assessment years 1981-82 to 1987-88 excluding the assessment year 1986-87 a show-cause notice was issued to show cause as to why the transaction should not be treated as inter-State sales instead of branch transfers.