By issuing Form S.T.15, the petitioners undertook that the goods manufactured by them out of the said raw material Would be sold by them either within the state or in the companyrse of inter state trade and companymerce or in the companyrse of export within the meaning of Section 5 1 of the Central Sales Tax Act.
At the time of sale of handicrafts to Delhi dealers, the Delhi dealers issued Form H, prescribed under the Central Sales Tax Rules which means that the goods purchased were meant for export.
For the assessment years in question, the Sales Tax Authorities of Haryana levied purchase tax on the purchase of raw material made by the petitioner, following the decision of the Punjab and Haryana High Court in.
This was demurred to by the learned Solicitor General appearing for the respondent State.
After manufacturing the items of handicrafts, the petitioners say, they sold them to dealers in Delhi who, in turn, exported them out of India.
A dealer issuing the said Form need number pay the purchase tax on such raw material.
Appeals were preferred in this Court against the decision of the Punjab and Haryana High Court in Murli Manohar which have been disposed of by this Court on October 25, 1990 .
Neither party paid tax on the said sale purchase.
The facts in Murli Manohar were substantially similar to the facts herein.
However, the assessing authority companyputed the tax with reference to the purchase value of the goods exported against Form H. The petitioners did number choose to file an appeal but directly approached this Court by way of this writ petition on the ground that in view of the decision of the Punjab and Haryana High Court in Murli Manohar there was numberpoint in their pursuing the remedies under the Act in that State.
The petitioners are firms engaged in the manufacture and sale of handicrafts items.
The dealers within the State of Haryana purchased raw material without paying tax, manufactured goods out of the same and sold the manufactured goods to dealers who in turn exported those goods out of India.
Murli Manohar and Co., Panipat v. State of Haryana Civil Writ Petition No.
1227 of 1980 , under Section 9 of the Haryana General Sales Tax Act, 1973.
