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2021 (8) TMI 399 - HC - VAT and Sales TaxValidity of an Ordinance which levied an additional sales tax @ not exceeding to 3% of the gross turnover - Ordinance was withdrawn in 1995 - whether for the period during which the Ordinance was in force, and tax was not collected by the dealer, would it still be enforced? HELD THAT:- The Court notes that although the Ordinance was in the first place introduced to levy additional sales tax, it was in force only for a period of less than one month since the Government appears to have had second thoughts and decided that it was not in the interest of common people of Odisha to levy the additional sales tax - Sales tax is an indirect tax, the burden of which is passed on to the consumer. Where additional sales tax had not been collected by the dealer during the period in question, he would be in no position to pass on the burden, if it sought to be enforced subsequently i.e. even after the Ordinance stands withdrawn. Perhaps for the said reason, the Government took a conscious decision not to enforce the collection of additional sales tax, if it had not already been collected by the dealer. This appears to be a salutary move which would be consistent with the intention of not burdening the common people of Odisha. The Court is unable to agree with the view expressed by the Tribunal that notwithstanding the clarification of the Government, the Ordinance in question was still required to be enforced for the period of its operation - the impugned order of the Tribunal and the corresponding orders of the ACST and STO seeking to enforce the Ordinance are hereby set aside - revision petition disposed off.
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