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2020 (2) TMI 1057 - HC - VAT and Sales TaxRefund of Amount unauthorisedly deducted as tax under VAT - Whether the amount should be in U.S. Dollars or in Rupees? - HELD THAT:- It is nobody‟s case that the State had directed ONGC to mandatorily carry out deductions under the TVAT Act. Such deductions were carried out by ONGC of its own interpretation of the statute. It could have released the amount to the petitioner - It is out of contractual contract between the petitioner and ONGC. Hence, to contend that the only currency acceptable by the State towards deposit of tax being Indian currency, ONGC had no option but to deposit the tax amount by converting US Dollars to Indian currency at the prevailing rates and thus ONGC had no role in the collection and deposit of the tax is not correct. The question of law posed in the present petition, to be no longer res integra. In FORASOL VERSUS OIL & NATURAL GAS COMMISSION (ONGC) [1983 (10) TMI 234 - SUPREME COURT] the Apex Court, under similar circumstances, directed the very same respondent i.e. ONGC to refund the amount in terms of currency agreed upon by the parties. The petitioner shall be entitled to take credit of the amount in terms of Memorandum dated 16th June, 2017 - The difference in the exchange rate in terms of fluctuation in the Dollar vis-a-vis Indian Rupee, shall however be made good by ONGC. This also has to be in US Dollars, and the rate prevalent as on the date of payment. Application disposed off.
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