Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2008 (10) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2008 (10) TMI 606 - KERALA HIGH COURTTrue scope of Explanation 5 to section 8(f) of the Kerala Value Added Tax Act, 2003 questioned - Held that:- Explanation 5 will be applicable only if the dealer opens a new branch in the current year. The words "open a new branch" cannot permit the respondent to apply the Explanation to a case where a branch was in existence from the year 2005 and to treat the same as opened in the current year for the only reason that compounding is sought for in respect of the said branch in the year 2008-09 for the first time is not contemplated. I would think that such an interpretation would be opposed to the plain meaning of the words embedded in the provision. Neither is the respondent in my view entitled to draw support from circular No. 42/06 for the reasons which I have already indicated. If that be so, exhibits P7 and P9 are plainly unsustainable. Accordingly, I allow the writ petition and quash exhibits P7 and P9. A decision will be taken on exhibit P6 in accordance with law within one month from the date of receipt of a copy of this judgment. Till such decision is taken, the petitioner is permitted to pay the monthly compounded tax at the rate of ₹ 49,42,211.
|