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2010 (7) TMI 921 - HC - VAT and Sales TaxWhether the petitioner is entitled to the deferment of payment of tax both under the KST and the CST Acts for the period 2002-14 in respect of phase III of its project? Held that:- Though there is no promise by the State Government to take any corrective measures, with the reduction in the rate of tax under the CST Act resulting in the complete decimation of the incentive granted to the petitioner. The intention of the State Government to continuously provide relief from the burden of tax during the intended period is no longer in existence and to that extent, the principles can be pressed into service. Even the decision in the case of Kasinka Trading [1994 (10) TMI 64 - SUPREME COURT OF INDIA] that an exemption notification can be revoked without falling foul of the principle of promissory estoppel, since it was also found that the Government of India had justified the withdrawal of exemption notification on relevant reasons in the public interest, would have no application in the present case as the State Government has not withdrawn exemption nor does it seek to justify the benefit conferred on the petitioner having been rendered illusory, but only assigns a dispassionate reasoning, that it is the misfortune of the petitioner to be faced with the circumstance of the incentive becoming redundant for the reasons stated above. It is therefore necessary for the State Government to reconsider the request made by the petitioner and to evolve measures in order to address the petitioner's plight and to afford such relief as may be warranted. The writ petition is accordingly allowed. The order at annexure M is quashed and the State Government is directed to reconsider the request of the petitioner in the light of the observations made hereinabove
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