2024 (8) TMI 1394 - HC - VAT and Sales Tax

Appropriation of amount that was due and payable to the Petitioner after the adjustment of the tax liability of the Petitioner for various assessment years - HELD THAT - The challenge to the Impugned Order is unsustainable. However the appropriation made in the Impugned Order is unsustainable. If the amounts are due and payable to the Petitioner after adjustment of the tax they have to be refunded back to the Petitioner. There is no question of lapsing of the aforesaid amount so as to enable the Government to appropriate the amounts of refund that is/was due and payable to the Petitioner under the provisions of the PVAT Act 2007 and CST Act 1956. The Respondent is directed to refund a sum of Rs. 5, 89, 030/- to the Petitioner. Since the amount is refundable the Respondent is directed to refund the amount by crediting the amount in the Electronic Cash Register in terms of Section 142(8)(b) of the CGST Act. Petition disposed off.

Summary

The High Court of Madras disposed of a writ petition seeking to quash an order under the Central Sales Tax Act, 1956. The petitioner was aggrieved by the appropriation of an amount towards tax liability and sought a refund of Rs. 5,89,030. The court directed the respondent to refund the amount to the petitioner in accordance with the CGST Act.