Breif Issue :

Facts & Issue of the case

The petitioner “Nuvoco Vistas Corporation Ltd” is engaged in manufacturing and mining activities and they are bulk purchasers of 'high speed diesel', which they require for their manufacturing and mining activities. Admittedly, their end products do not come within the definition of 'goods' as defined under Section 2(d) of the Central Sales Tax Act, whereas 'high speed diesel', which they require in their manufacturing process, comes within the definition of 'goods' as defined under the CST Act. A Circular dated 11.10.2017 was issued by the State of Jharkhand, in its Commercial Taxes Department, denying the issuance of Form-'C' for all the items included in the definition of 'goods' given under Section 2(d) of the CST Act, including the 'high speed diesel',

The Circular had been issued on the pretext that after coming into force of the Goods and Services Tax regime in the State, w.e.f. 01.07.2017, all the six items, which were excluded in the Jharkhand Goods and Services Tax Act, 2017, and on which the liability to pay tax under the State GST Act was deferred till the notification issued under Section 9(2) of the said Act, were still governed by Jharkhand Value Added tax Act.

The dealers dealing in the goods, expect those six items were no more liable to pay tax under the JVAT Act, and as such, their registration under the JVAT Act had come to an automatic end w.e.f. 01.07.2017.