Hiring of Helicopters covered u/s 2(g) (iv) CST Act: Delhi HC issues notice to CTT [Read Order]

The Delhi High court recently issued notice to the Commissioner of Trade and Taxes in a civil Application filed by the M/S Pawan Hans Limited.

The Appellant M/S Pawan Hans Limited is conducting the business of chartering helicopters and they entered into agreements with various State Government and public sector entities for hiring of its helicopters. The Value Added Authority levied tax upon the right of transfer of use of the helicopters under the Delhi Value Added Tax Act, 2004.

Tarun Gulati, Representing for the appellant submits that maintenance of the helicopters and possession remain under the control of the appellant

Further the counsel for appellant contended that appellant paid service tax for rendering the service of Supply of Tangible Goods for Use Services and the order of the VAT authority is erroneous.

The appeal was filed by the appellant to seek whether the hiring of helicopters to their customers in terms of agreement executed is covered under Section 2(g) (iv) Central Sales Tax Act 1956?

After considering the submission of the appellant the division bench comprising Justice Vibhu Bakhru and Justice Amit Mahajan issued notice to the Commissioner of Trade and Taxes and posted for further hearing on 16.03.2023.

To Read the full text of the Order CLICK HERE

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