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2019 (3) TMI 967 - HC - VAT and Sales TaxInterest on delayed refund - relevant date for calculation of interest - Doctrine of merger - Held that:- The controversy involved in the present case is no longer res integra, inasmuch as the same stands decided by the above referred decision of this court in the case of M/s Syngenta Crop Protection Pvt. Ltd. v. State of Gujarat [2018 (4) TMI 1669 - GUJARAT HIGH COURT]. In the said case this court, relied upon an earlier decision of this court in the case of State of Gujarat v. Doshi Printing Press [2015 (3) TMI 211 - GUJARAT HIGH COURT] wherein the court turned down the contention that while giving effect to section 54(1)(aa) of the Act, the effect would be available to the assessment made by the assessing authority only and not the further modification made by the first appellate authority or thereafter, the second appellate authority or even third appellate authority, as the case may be. The court held that the interpretation canvassed by the revenue of section 54(1) (aa) of the Act, if accepted, would run counter to the basic principles of the doctrine of merger which is a well accepted doctrine incorporated in the system of administration of justice. The Gujarat Value Added Tax Act, 2003 came into force with effect from 1st April, 2006. In the light of what is held in the above decision, considering the fact that in the present case the payment has been made in August, 2006, that is, after the coming into force of the Gujarat Value Added Tax Act, 2003, for the period prior to the coming into force of the GVAT Act, the petitioner would be entitled to payment of interest at the rate of 9% per annum as provided under section 54 of the Gujarat Sales Tax Act and for the subsequent period it would be entitled to interest at the rate of 6% per annum as provided under section 38 of the Gujarat Value Added Tax Act. Petition allowed.
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