IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH. C.M. No.14392 of 2010 in/and C.W.P. No.19006 of 2006 (O&M) Date of decision: 14.10.2010 M/s Kidar Singh Virender Singh. -----Petitioner. Vs. The State of Haryana & others. -----Respondents CORAM:- HON'BLE MR. JUSTICE ADARSH KUMAR GOEL HON'BLE MR. JUSTICE AJAY KUMAR MITTAL Present:- Mr. Sandeep Goyal, Advocate for the petitioner. Mr. Gagandeep Singh Wasu, DAG, Haryana. --- ADARSH KUMAR GOEL, J. 1. This petition seeks quashing of order dated 13.9.2006, Annexure P-8, passed by the Haryana Tax Tribunal, holding that turnover of purchase of paddy exported out of the State was not liable to be excluded from taxable turnover under Section 27 of the Haryana General Sales Tax Act, 1973 (for short, “the Act”). 2. Contention raised on behalf of the petitioner is that the said turnover is liable to be excluded from the taxable turnover and the Tribunal erred in not giving proper interpretation to CWP No.19006 of 2006 Section 27 of the Act. During the pendency of this petition, this Court, vide judgment dated 15.7.2010 in L.P.A. No.227 of 2010 M/s Mahavir Parsad Lakhmi Chand v. State of Haryana and others, held that such turnover is liable to be excluded. Observations of this Court are:- “13. Since it is not disputed that the turnover in question is covered by taxable turnover under Section 6, only question to be considered is whether the same is excluded under Section 27. The mandate of Section 27 is “to exclude turnover” on account of purchase of goods specified in Schedule D liable to tax at the stage of last purchase and sold in the course of inter State trade. 14. Contention on behalf of the revenue that benefit under the Central Act have already been taken in respect of inter State sale or on account of export by the purchasing dealer, Section 27 will not be attracted, is not born out by the provision or by any principle of interpretation or by any case law. On the contrary, the turnover of inter State sale being outside the purview of the State law, only relevant taxable turnover is the turnover of purchase which is liable to be excluded to the extent of sale in the course of inter State trade. 15. The above being the position, we are unable to sustain the impugned orders. The appeals are accordingly allowed.” 2 CWP No.19006 of 2006 3. Learned counsel for the State is unable to distinguish the applicability of judgment relied upon to the present case. 4. Accordingly, the writ petition is allowed and the impugned order of the Tribunal is set aside. (ADARSH KUMAR GOEL) JUDGE October 14, 2010 ( AJAY KUMAR MITTAL ) ashwani JUDGE 3