MAHALAKSHMI TRADING HOUSE 7/64 BHIM GHALI VISHWAS NAGAR SHAHDARA DELHI 110 032 Vs. TAMIL NADU TAXATION SPECIAL TIRUBNAL CHENNAI?

JUDGEMENT

(1.) K. Raviraja Pandian, J. 1. The above writ petition is filed for issuance of certiorarified mandamus to call for the records of the respondents 1 to 4 pending with the order of the 1st respondent dated 19. 11. 2003 passed in O. P. 917 of 2003 confirming the order of the second respondent Joint Commissioner (C. T)Chennai No. RPJJ1/116 dated 6. 6. 2003 and quash the same and consequently direct the respondent in particular the 4th respondent to refund the amount of Advance sales Tax of Rs. 9,16,630 and compounding fee of Rs. 10,000 with 18% interest.

(2.) IN this writ petition, the order of the Tamil Nadu taxation Special Tribunal dated 19. 11. 2003 made in O. P. No. 917 of 2003 confirming the order of the lower authorities imposing advance sales tax of rs. 9. 16,630 and compounding fee of Rs. 10,000 is put in issue.

(3.) AS seen from the detention order dated 13. 1. 2003, the goods were detained for reasons that the address of the importer and ultimate consignee mentioned in the document differs. There was nothing to indicate as to whether the respondent was having any material to come to the conclusion that there was sale for which tax has not been paid. It is also an undisputed fact that the goods were in bonded warehouse and not been cleared on payment of customs duty. So the goods cannot be regarded as entered into the territory of tamil Nadu and joined with the general mass. When the goods were imported into india even after the goods were unloaded from the ship and even after the goods are assessed to customs duty subsequent to the filing of bill of entry the goods cannot be regarded as having crossed the customs barrier until the duty is paid and the goods are brought out of the limits of customs station. Till such time the customs duty payable on the goods is not paid, the amount of duty payable being determined with reference to the rate at which the duty was levied as on the date of the removal of the goods from the warehouse, the goods cannot be regarded as having crossed the customs barrier. (see State Trading corporation of India Limited v. State of Tamil Nadu , 2003 (129) STC 294.