ARUNACHALA IMPEX Vs. ASSISTANT COMMISSIONER

JUDGEMENT

(1.) THE writ petition has been filed seeking to quash the notice of the second respondent in G.D.No,33/2005-2006, and to direct the respondents to release the consignment detailed in the above G.D.No,33/2005-2006.

(2.) THE petitioner Unit is an exporter of Stainless Steel household articles, handicrafts items, table kitchen wares etc. and it was duly registered under the provisions of the Tamil Nadu General Sales Tax Act (hereinafter called as the 'TNGST Act') and also under the Central Sales Tax Act 1956.THE petitioner is a 100% export oriented Unit. THE Government of India, Ministry of Commerce has granted a Certificate (i.e) Import-Export Code. THE petitioner used to purchase goods locally and export the same. Such export is exempted from Sales Tax. Some of the goods which were not exported were lying in a godown, which was detained by the respondent authorities in GD 33/2005-2006 on 02.02.2006. THE reason for detention was that the department wanted to verify the genuineness of the transaction as stated by the petitioner and also to look into the registration certificate and other documents relating thereto. THE petitioner approached the authorities and submitted the relevant documents to show that it was part of export consignment. However, without accepting the stand of the petitioner, the second respondent issued the impugned notice cum demand in G.D.No,33/2005-2006 dated 26.04.2006 demanding a sum of Rs.1,40,514/- as tax. THE writ petition has been filed challenging the said proceedings.

(3.) AT the time of final hearing, the learned counsel for the petitioner has produced a bunch of documents containing copies of shipping bills for export through Sea Port, Chennai and stated that the goods which were the subject matter of G.D.33/2005-2006 dated 02.02.2006 have been exported and therefore, the demand for tax as stated in the impugned demand notice cum order cannot be sustained.