THIRU MANICKAM AND CO. vs THE STATE OF TAMIL NADU

The Supreme Court held that under Section 15(b) of the Central Sales Tax Act, 1956, an assessee is entitled to a refund of state sales tax paid on declared goods sold in the course of inter-state trade, provided the sales tax was also paid under the Central Act. The Court clarified that the proviso to Section 4 of the Tamil Nadu General Sales Tax Act supports this entitlement, emphasizing that the dealer who sells the goods in inter-state trade is eligible for the refund. The Court distinguished the case from M. A. Khader & Co. v. Deputy Commercial Taxation Officer, asserting that the context of 'refund' in the statute must be interpreted to align with legislative intent.