COFFEE BOARD, BANGALORE vs JOINT COMMERCIAL TAX OFFICER, MADRAS & ANR.

The Supreme Court held that under Article 286(1)(b) of the Constitution, sales in the course of export are exempt from sales tax. The Court clarified that a sale is considered 'in the course of export' only if it occasions the export or involves the transfer of documents after crossing customs frontiers, as per Section 5(1) of the Central Sales Tax Act, 1956. The Coffee Board's claim for exemption from the Madras General Sales Tax Act, 1959 was upheld, establishing that corporations can enforce rights under Article 32 if they demonstrate a breach of fundamental rights.