Dealers should not only preserve but also produce collateral evidence in the form of transport documents, such lorry receipts or consignment note, etc for proving the transaction of sale.

The court held that Chennai Police are not liable to service tax on Bundobast services prior to 1 June 2012 as the services are sovereign functions.

The Court said that all pending returns be filed within four weeks of restoration along with payment of tax, interest and late fees, and clarified that such payments shall not be adjusted from any unutilised Input Tax Credit (ITC).