The Telangana High Court directed the respondent, Joint Commissioner of State Tax to issue 17 C forms to the petitioner, JMC Projects India Ltd on proof of regular payment of tax and leaving back no arrears by the petitioner.
The sum and substance of petitioner’s prayer is issuance of 17 ‘C’ forms in terms of sub-sections (3) and (4) of Section 8 of the Central Sales Tax Act, 1956, and subrules (1) and (6) of Rule 12 of the Central Sales Tax (Registration and Turnover) Rules, 1957.
For the goods procured from other states, petitioner is entitled to concessional rate of tax at 2% in terms of subsection (3) of Section 8 of the Central Sales Tax Act, 1956, subject to furnishing of ‘C’ declaration forms in terms of sub-section (4) of Section 8 of the Central Sales Tax Act, 1956, read with Rule 12(1) of the Central Sales Tax (Registration and Turnover) Rules, 1957.
Grievance of the petitioner is that despite payment of taxes on regular basis and there being no arrear tax due, respondents did not issue the ‘C’ declaration forms. Petitioner had furnished proof of inter-state sale and transport of goods.
The Court formerly had directed the Senior Standing Counsel to obtain instructions as to why ‘C’ forms were not being issued to the petitioner though according to the petitioner there are no arrears and it has been filing regular returns under the statute.
The Joint Commissioner through his reply submitted that till issuance of circular by the Commissioner of Commercial Taxes dated 17.08.2020, facility to obtain the ‘C’ forms from the portal was open and it was accessible to every dealer and that the writ petitioner did not choose to issue the ‘C’ forms to their inter-state sellers.
A Bench comprising Chief Justice Ujjal Bhuyan and Justice N Tukaramji directed the respondents to issue the 17 ‘C’ forms to the petitioner for the period 2016-17 and 2017-18 (from 01.04.2017 to 30.06.2017) within a period of fifteen days from the date of receipt of a copy of the order.
“We are of the view that explanation given by respondent No.1 is not adequate to deny ‘C’ forms to the petitioner. There is no allegation of short deposit of any taxes by the petitioner or suppression/misstatement of goods while availing concessional rate of tax” the Court noted.
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