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2003 (3) TMI 691

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..... on, Use or Sale Therein Act, 1993 (hereinafter referred to as "the Act"). 2.. The necessary facts for disposal of the present application are that the petitioner being a company registered under the Companies Act has two manufacturing units one at Sindri and another at Jhinkpani, prior to bifurcation of the erstwhile State of Bihar the units were registered under the Bihar Finance Act and as well as under the Act and the consolidated registration was made at Patna Special Circle. On November 15, 2000 the erstwhile State of Bihar was bifurcated into two States, namely, State of Jharkhand and the State of Bihar and the said two manufacturing units of the petitioner now have fallen in the State of Jharkhand. 3.. In the year 1995, the State .....

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..... har Finance Act to the extent of the tax paid under the Act. Now the said provision has become part of section 3 by the Amendment Act (amendment made in the year 2001). As the demand of the tax under the Bihar Finance Act relates to the period prior to the amendment of the Act the matter will be governed by paragraph 2 of the aforesaid notification which has been stated above. 5.. As stated above the petitioner was granted exemption from payment of sales tax with regard to incremental/additional production and in that view of the matter in terms of the aforesaid notification issued under the Bihar Finance Act there is no question of adjustment or reduction of the liability to the extent of the entry tax paid under the Act. It is admitted .....

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..... y the State Government." According to the said section the entry tax under the Act is levied and collected on entry of scheduled goods into a local area for consumption, use or sale therein at such rate specified therein. 8.. Paragraph 2 of the aforesaid notification reads as follows: "Where an importer of scheduled goods liable to pay tax under sub-section (2) of section 3 of the Ordinance becomes liable to pay tax under the Bihar Finance Act, 1981 by virtue of sale of such scheduled goods, his liability under the Bihar Finance Act, 1981 shall be reduced to the extent of tax paid under the Ordinance." 9.. According to the said provision the reduction of the tax liability under the Bihar Finance Act is only with regard to said sched .....

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..... of the State of Bihar the units were in the State of Bihar itself and as such import of cement from one place in the same State to other part of the State will not attract the provisions of the Act in view of the subsequent amendment under the Act which according to the learned counsel for the petitioner is clarificatory in nature. This submission in our view has already been advanced before us and the same has been rejected in the case of Hindustan Lever Ltd. v. State of Bihar reported in [2004] 136 STC 396; 2003 (1) PLJR 535 (see paragraph 25 of the judgment). The said submission is also rejected. 13.. Learned counsel appearing for the petitioner also relied upon the judgment of the Supreme Court in the case of State of Bihar v. Bihar C .....

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