M/S. K.B. HANDICRAFTS EMPORIUM vs STATE OF HARYANA .

The Supreme Court clarified that under Section 9 of the Haryana General Sales Tax Act, there are four categories of sales: intra-state, inter-state, export, and a fourth category where goods are taken out of Haryana without a sale within the state. The Court held that purchase tax can be levied on raw materials used for goods sold in another state, as established in the Hotel Balaji case. The Court directed that the matters be resolved by the appropriate authorities based on the principles laid out in the Murli Manohar and Hotel Balaji judgments.