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2018 (4) TMI 209 - HC - VAT and Sales TaxReversal of input tax credit - sale of scrap which is sold to some consideration - Held that: - A reading of the Section 19(9)(i) of the TNVAT Act makes it evident that no input tax credit shall be availed by a registered dealer for purchase of goods, if such goods are not sold because of any theft, loss or destruction, for any reason, including natural calamity, and if the dealer has already availed input tax credit against purchase of such goods, there shall be reversal of tax credit - Reversal of input tax credit has been done by the Original Authority, based on the surprise inspection conducted by the Enforcement Wing officials, that there is difference in the value of purchase and sales of scrap. The dealer had sold utensils and scrap, as first sale and paid tax to the department, after adjusting input credit. Upon analysing the evidence, there is a concurrent finding of fact, in favour of the dealer, which does not warrant reversal on the grounds raised. Revision dismissed - decided against Revenue.
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