Sale during import
This query is : Resolved
26 June 2013
Is there taxability when goods are sold when they are stored in customs bonded warehouse, before clearance from warehouse?
26 June 2013
Yes, taxability will be arise.
26 June 2013
Sir,
But it has been held that goods continue to be in customs barrier when they are in custom bonded warehouse. Import would be completed only when goods cross custom barrier and not when they land in india or enter territorial waters"
In judgement "state trading corporation v state of tamilnadu (2003) 129 STC 294 (MAD HC DB) also says" Thus , sale before clearance from customs bonded warehouse will be 'sale during import ' and will not be taxable.
So i am in confusion, please clarify me.
Sir,
But it has been held that goods continue to be in customs barrier when they are in custom bonded warehouse. Import would be completed only when goods cross custom barrier and not when they land in india or enter territorial waters"
In judgement "state trading corporation v state of tamilnadu (2003) 129 STC 294 (MAD HC DB) also says" Thus , sale before clearance from customs bonded warehouse will be 'sale during import ' and will not be taxable.
So i am in confusion, please clarify me.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS 194-T applicability
- Tds on commission charges
- TDS on Complimentary "Desi Ghee and Gold Coin" Provided to KBC Contestants
- Applicability of GST on Salary Reimbursement Component
- Need Professional Opinion AY 2012-13 Old Demand
- Withdrawal in cash from partners capital account by partner
- TDS on TRUST
- Renovation exp. in flat by family member
- FAST-DS Scheme - Foreign Assets
- Consolidated financials
- CHECK RELATED
- Dep. as per companies act
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Starting trading business
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
Quick Links
ARTICLESHIP
01 September 2026
Articles
Saini Pati Shah & Co LLP, Chartered Accountants
Mumbai
CA Foundation
View Details
Featured
11 September 2026
Audit Executive
RBSM Corporate Advisors Private Limited
Pune
CA
View Details
ARTICLESHIP
07 September 2026
CA Articles
Kothari Jain Patil & Chartered Accountants
Pune
CA Inter
View Details
ARTICLESHIP
21 September 2026
CA Article Assistant
KK & Company Chartered Accountant
Pune
CA Inter
View Details
ARTICLESHIP
07 September 2026
Article/ Paid Assistant
Murali and Sumeet Chartered Accountant
Bengaluru
CA Foundation
View Details
08 September 2026
Semi-Qualified Assitant
Subrahmanyam & Sivudu CA Firm
Hyderabad
CA Inter
View Details
CCI
Pro
CAclubindia
