1997 (9) TMI 624 - SC - VAT and Sales Tax

Summary

Issues:
Appeal arising from High Court order dismissing writ petition in limine regarding claim for deduction under Punjab General Sales Tax Act, 1948 due to non-submission of Form ST XXII by government corporation buyer during winding-up proceedings.

Analysis:
The appellant, a Divisional Forest Officer in charge of a Sales Depot, transacted sales with a government corporation during the relevant assessment year. The appellant claimed deductions under Sub-clause (ii) of Clause (a) of Sub-section (2) of Section 5 of the Act, requiring Form ST XXII. The buyer's liquidator issued a certificate instead of the required form, leading to denial of deduction by authorities. Appeals up to the High Court were unsuccessful, prompting the appellant to seek direction for the buyer-Corporation to provide the necessary forms.

Rule 26 of the Punjab General Sales Tax Rules, 1949 outlines the process for obtaining and using Form ST XXII for claiming deductions. The appellant failed to apply for the forms, resulting in the denial of deductions. The State and assessing authority acknowledged the authenticity of the sales and agreed to provide the forms if requested. The Court directed the concerned parties to facilitate the transfer of liability for sales tax payment by providing the necessary forms to the appellant.

The Court allowed the appeal, setting aside the High Court's order and directing the parties to fulfill their legal obligations to enable the appellant to claim deductions. The relief granted to the appellant required initiation within six weeks and prompt finalization. No costs were awarded in this matter.