By IANS,
New Delhi : The Supreme Court Tuesday asked the centre to specify whether Reliance Industries Limited (RIL) was liable to pay Central Sales Tax (CST) or the local Value Added Tax (VAT) applicable in the state where it was supplying the gas produced from the Krishna-Godavari (KG) basin.
Justice Altamas Kabir and Justice S.S. Nijjar issued a notice to the centre on a petition by Uttar Pradesh government, which had challenged a Allahabad High Court order staying the levying of VAT on the gas supplied by RIL in Uttar Pradesh.
RIL was being levied CST by the centre on the gas produced from KG basin and that was included in the price of the gas, said senior counsel Harish Salve while appearing for the company.
RIL could not be subjected to double taxation involving both CST and VAT, Salve said.
The court has given the centre two weeks to file its reply and another one week to all the parties to file their rejoinders.
The matter will come up for hearing after three weeks.