9911796707
TMI Blog1992 (2) TMI 360X X X X Extracts X X X X X X X X Extracts X X X X ..... rtificate was granted by the sales tax authorities on February 6, 1982. In order to give effect to the scheme, the Government had also issued a notification on February 5, 1981 under section 49(2) of the Gujarat Sales Tax Act, 1969, by inserting entry No. 118 in the Schedule to the parent notification of 1970. However, by a subsequent notification dated August 17, 1982, the Government, in exercise of the powers under section 49(2) of the Act, amended entry at serial No. 118 and included the industry of "wire-drawing of steel and items requiring wire rods as essential raw materials" in the list of the excluded industries. Respondent No. 2 thereafter issued a notice to the petitioner stating therein that the exemption certificate granted to i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uded industries and, therefore, the exemption from payment of sales tax was not available to it after that date. The petitioner is claiming relief invoking the doctrine of promissory estoppel and the respondents are resisting the same on the ground that the exemption has been now taken away by statutory notification and there cannot be any estoppel against the exercise of any legislative powers. Obviously, in view of the admitted facts of this case, the petitioner can validly invoke the doctrine of promissory estoppel. Further it is to be noted that the notification dated February 5, 1981, issued under section 49(2) of the Act was issued for the purpose of giving effect to the sales tax incentive scheme declared by the Government by its re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te Government to withdraw or revoke the said concession. The Supreme Court further held that however, such a power of revocation or withdrawal would be subject to one limitation, viz., the power cannot be exercised in violation of the rule of promissory estoppel. In that case the plea of promissory estoppel was not raised before the High Court and before the Supreme Court. It was not established that the new industry was set up because of any representation made or promise held out by the Government. As the exemption notification dated February 5, 1981, was issued by the Government solely for the purpose of giving effect to the sales tax incentive scheme declared by it by its resolution dated August 27, 1980, and as the doctrine of promiss ..... X X X X Extracts X X X X X X X X Extracts X X X X
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