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2016 (7) TMI 584 - HC - VAT and Sales TaxPrinciple of promissory estoppel - Levy of penalty - Scheme for Special Incentives to Prestigious Units 1990-95 - The respondent, in accordance with the eligibility certificate and exemption granted as aforesaid, availed of exemption from payment of purchase tax and sales tax. - Condition No.6 came to be amended with effect from 14th November, 2000 whereby it was provided that the goods were to be actually used by the eligible units as raw materials, processing materials, consumable stores in its industrial unit for which it had eligibility certificate. - Violation of condition of exemption. Held that:- Tribunal was wholly justified in invoking the doctrine of principle of promissory estoppel and holding that the appellant was bound by the assurances given to the respondent and cannot change the conditions to the detriment of the respondent. Insofar as the decision of the Supreme Court in the case of M/s Kothari Industrial Corporation Ltd. v. Tamil Nadu Electricity Board (supra) on which reliance has been placed by the learned counsel for the appellant is concerned, the said decision was rendered in respect of a case where the benefit of exemption was withdrawn and would have no applicability to the facts of the present case which relates to change in the conditions for availment of the benefit of exemption. Moreover, the contention regarding lack of jurisdiction on the part of the Tribunal to invoke the principle of promissory estoppel was never raised before the Tribunal, and hence such question does not arise out of the impugned order. Having regard to the fact that there is no breach of any condition of Entry 255, the question of imposition of any penalty does not arise.
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