Amendment status not verified — confirm the current text below against the official source.
Ins. by Finance Act, 2003 (32 of 2003), Sec. 161, dated 14th May, 2003. SECTION 6-A BURDEN OF PROOF, ETC. IN CASE OF TRANSFER OF GOODS 15 CLAIMED OTHERWISE THAN BY WAY OF SALE COMMENTS Benefit of exemption not available to Commission.—The exemptions apply to sales of specified goods effected by the certified institutions and persons. The Commission is not a certified person or institution. Therefore, the benefit of notification in question is not available to Commission. ' Inter-State and Inter-State Sales tax—Liability to.—Any transaction which is taxed as inter-State sale is not to be taxed again as inter-State sale, which appears to be the view from the impugned order of High Court.ccordingly that part of the High Court's order being incorrect has to be set aside. 3[6-A. Burden of proof, etc. in case of transfer of goods claimed otherwise than by way of sale.—(1) Where any dealer claims that he is not liable to pay tax under this Act, in respect of any goods, on the ground that the movement of such goods from one State to another was occasioned by reason of transfer of such goods by him to any other place of his business or to his agent or principal, as the case may be, and not by reason of sale, the burden of proving that the movement of those goods was so occasioned shall be on that dealer and for this purpose he may furnish to the assessing authority, within the prescribed time or within such further time as that authority may, for sufficient cause, permit, a declaration, duly filled and signed by the principal officer of the other place of business, or his agent or principal, as the case may be, containing the prescribed particulars in the prescribed form obtained from the prescribed authority, alongwith the evidence of despatch of such goods 4[and if the dealer fails to furnish such declaration, then, the movement of such goods shall be deemed for all purposes of this Act to have been occasioned as a result of sale.] (2) If the assessing authority is satisfied after making such inquiry as he may deem necessary that the particulars contained in the declaration furnished by a dealer under sub-section (1) are true he may, at the time of, or at any time before, the assessment of the tax payable by the dealer under this Act, make an order to that effect and thereupon the movement of goods to which the declaration relates shall be deemed for the purposes o€. this Act to have been occasioned otherwise than as a result of sale. Explanation.—In this section, "assessing authority", in relation to a dealer, means the authority for the time being competent to assess the tax payable by the dealer under this Act.] COMMENTS Provisions of Sec. 6-A—When could not be attracted.—It is clear that till the year 1971-72 the burden was on the revenue and not on the assessee. Moreover, in the instant case, the Assistant Commissioner (Judicial) has recorded a finding that no material was furnished by the department to establish that the sales made by the respondent assessee were inter-State sales. In view of the said fact it is clear that the order passed b the Tribunal does not suffer from any error of law and is liable to be maintained. Burden of proof.—In Commissioner of Sales-tax, U.P. v. Iron Traders,s the Tribunal has clearly mentioned in its order that the department did not produce any evidence to show that the sale made by the assessee was inter-State sales. A careful reading of the order of the Tribunal indicates that it has proceeded on the assumption that the burden was on the department to prove that the goods despatched from Ghaziabad by the assessee to Surmala in Punjab was inter-State sale. In fact, it was for the assessee to have furnished sufficient material and evidence to prove that the said sale was inter-State sale. Since the Tribunal has wrongly applied the law in deciding the appeal, the order passed by it cannot be sustained.