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.
CAclubindia
