M/S Indian Oil Corporation Limited vs Commr.Of Sales Tax & Ors

The Supreme Court addressed the issue of whether the sale of Superior Kerosene Oil by Indian Oil Corporation Ltd. (IOC) and Bharat Petroleum Corporation Ltd. (BPCL) to another oil company via the PDS route is exempt from sales tax under the Orissa Sales Tax Act, 1947, specifically referencing the notification dated 1st July, 2000. The Court held that the Assistant Commissioner of Sales Tax must hear and dispose of the pending appeals within three months, emphasizing that no coercive steps should be taken against the companies pending the appeal. The Court noted the financial capability of the companies to pay any tax due if the Department succeeds in the appeal.