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2018 (9) TMI 1710 - HC - VAT and Sales TaxScope of the words “Seller” and “Dealer” - Notification dated 30th March, 2016 - repossession of the vehicles and the sale of the repossessed vehicles by the banks / institutions amounting tosale or not? - insertion of Entry No.82B in Schedule C to MVAT Act to levy VAT as “repossessed motor vehicles sold by the banks / financial institutions on which entry tax or as the case may be, Sales Tax has been paid at an earlier stage in the State - Held that:- At this stage, no notice has yet been issued to the petitioners seeks to assess the petitioners under Entry No.82B of the Schedule C of the MVAT Act. This in the light of the petitioner's contention that the petitioners are not the dealer nor is their activity in disposing of repossessed motor vehicles a sale under the MVAT Act. It is for the respondents now to issue an appropriate notice in case it does not agree with the contention of the petitioners. On such a notice being issued by the respondent, the petitioners would respond. As no proceedings have yet been commenced and no order has been passed by the Authorities under the MVAT Act on the proper interpretation of the words “Seller” and “Dealer” in the context of Entry No.82B of the Schedule C to the MVAT Act, it would only be proper that if and when the Revenue issues a notice, the petitioners will respond to the same and appropriate order thereon would be passed - If the petitioners succeed in its contention with regard to the interpretation of the words “Seller” and “Dealer” in the context of Entry No.82B, Schedule C to the MVAT Act, then the challenge to the constitutional validity would in the present facts become unnecessary. At this stage, the petition is premature - Petition disposed off.
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