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2018 (12) TMI 1824 - HC - VAT and Sales TaxMaintainability of petition - availability of alternative remedy of appeal - Composition Scheme - Whether Tamil Nadu Act 27 of 2011 has to be retrospectively applied? - HELD THAT:- The fact that 01.04.2012 has been notified as the date on which the Act is to come into force cannot be put against the petitioner - The general principles concerning retrospectivity have been authoritatively laid down by the Five Judges Bench by the Honble Supreme Court in the decision of COMMISSIONER OF INCOME TAX (CENTRAL) -I, NEW DELHI VERSUS VATIKA TOWNSHIP PRIVATE LIMITED [2014 (9) TMI 576 - SUPREME COURT] where it was held that where a benefit is conferred by a legislation, the rule against a retrospective construction is different. If a legislation confers a benefit on some persons but without inflicting a corresponding detriment on some other person or on the public generally, and where to confer such benefit appears to have been the legislators object, then the presumption would be that such a legislation, giving it a purposive construction, would warrant it to be given a retrospective effect. This exactly is the justification to treat procedural provisions as retrospective. Applying the aforesaid standard, there cannot be any difficulty in coming to the conclusion that Tamil Nadu Act 27 of 2011 must be given retrospective application. As rightly pointed out by the learned counsel appearing for the petitioner, this is evident from the statement of objections and reasons annexed to the amendment Act. The legislature was aware that a literal construction of the unamended Section 3(4)(b) of the Act resulted in levy of tax under Section 3(2) of the Act on the entire turn over of the dealer. The dealer was faced with such a levy even though he had not collected any tax on the turnover upto ₹ 50.00 lakhs. In order to rectify the situation the amendment Act was introduced. The intent and object of the legislature is clearly evident by the use of the expression ?substituted?. Therefore, it will have to be necessarily construed as retrospective. In fact, that is the object which the legislature intend to subserve. Therefore, the Tamil Nadu Act 27 of 2011 being a substitutive amendment will cover the case of the writ petitioner also. The matter is remitted to the file of the respondent to pass orders afresh in accordance with law after affording an opportunity of personal hearing to the petitioner - petition allowed by way of remand.
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