NIRMAL KUMAR PARSAN vs COMMR. COMMERCIAL TAX . AND ORS.

The Supreme Court addressed whether sales of imported goods stored in a bonded warehouse in West Bengal, sold as ship stores to foreign-bound vessels, are subject to sales tax under the West Bengal Sales Tax Act, 1954 and 1994. The Court held that such sales occur within the territory of West Bengal and are taxable, rejecting the appellants' claim that these transactions constituted sales in the course of import under the Central Sales Tax Act, 1956. The judgment upheld the decisions of the West Bengal Taxation Tribunal and the High Court, affirming the applicability of sales tax to the transactions in question.