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2017 (3) TMI 1343 - HC - VAT and Sales TaxBenefit of Sales-tax exemption or Sales-tax Deferment Eligibility Fixed Capital Investment - Section 49 [2] of the Gujarat Sales Tax Act, 1969 - extension of the period of Sales Tax Eligibility Certificate for a further period of five years for un-utilized amount of ₹ 57.82 Crores out of ₹ 188.15 Crores, and to consider the expenses of ₹ 257.55 Crores which were incurred and paid upto 12th April 2007 instead of ₹ 213.58 Crores, being the period of eighteen months from the date of commencement of commercial production ie., 12th October 2005 - whether the petitioner-Company is entitled to incentive/ sales tax exemption under the Scheme on investment/expenditure incurred after 31st December 2005, but within a period of 18 months from the date of commencement of commercial production? Held that: - it is required to be noted that in case of Small Scale Industrial Units, Medium and Large scale Industrial Units, the assets acquired upto the period of six months or within 1 year from the date of commencement of commercial production or till the date of completion of the said Scheme ie., 31st December 2005; whichever is earlier between the two, shall be considered eligible for the purpose of Incentives. However, in the Gujarati version of the Incentive Scheme, the expression “whichever is earlier between the two” is missing in case of Industrial Units having project cost exceeding ₹ 10 Crores. The aforesaid seems to be an inadvertent mistake in publication/typing - Nobody can be permitted to take undue advantage/ disadvantage of the beneficial Scheme due to inadvertent mistake in publication. In case of Industrial Units having project cost exceeding ₹ 10 Crores, it is mentioned that the assets acquired within a period of 18 months form the date of commencement of production, or till the completion of the said Scheme, shall be considered eligible for the purpose of incentives. Therefore, the submissions made on behalf of the petitioners that the assets acquired upto 11th April 2007 are required to be considered eligible for the purpose of incentive; if is accepted, in that case, the words/expressions “till the completion of the said Scheme” shall be meaningless. When the petitioners and all other Industrial Units/ Undertakings/Projects [105 in number] understood the Scheme, the manner in which the State Government had pleaded and all are treated equally and in case of all Industrial Undertakings/Projects, the assets acquired only upto 31st December 2005 are considered eligible for the purpose of incentive, the petitioners are not entitled to incentive on the assets acquired subsequently after commencement of commercial production or after 31st December 2005. The present writ petition with respect to claim of the petitioners for incentive/sales tax exemption on the investment made/assets acquired after 31.12.2005, but made on or before 11.04.2007 ie., within a period of 18 months from the date of commencement of commercial production ie., ₹ 257.55 Crores is hereby rejected. It is held that the petitioners are not entitled to the incentive/sales tax exemption on the total expenses/investment of ₹ 257.55 crores as claimed and are entitled for incentive/sales tax exemption on the investment made/assets acquired upto the date of commencement of commercial production ie., 12th October 2005. Petition dismissed - decided against petitioner.
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