Section 5A(1) in The Kerala General Sales Tax Act, 1963
(1)Every dealer who, in the course of his business, purchases from a registered dealer or from any other person any goods, the sale or purchase of which is liable to tax under this Act, in circumstances in which no tax is payable, under sub-section (1), (3), (4) or (5) of section 5 and either,(a)consumes such goods in the manufacture of other goods for sale or otherwise: or(b)uses or disposes of such goods in any manner other than by way of sale in the state: or(c)dispatches them to any place outside the state except as a direct result of sale or purchase in the course of inter-State trade or commerce; shall, whatever be the quantum of the turnover relating to such purchase for a year, pay tax on the taxable turnover relating to such purchase for the year at the rates mentioned in section 5.
