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TMI Blog2010 (4) TMI 1000X X X X Extracts X X X X X X X X Extracts X X X X ..... sment years 1998-99 and 1999-2000 and in the case of assessment year 1997-98, by more than 29 months, no hesitation in granting the relief to the petitioner, thereby directing the first respondent to pay interest to the petitioner at 12 per cent per annum on the refund ordered on expiry of the 90th day from the date of receipt of the appellate order for the assessment years 1997-98, 1998-99 and 1999-2000. The first respondent shall pass the order granting interest as per section 24(4) of the Tamil Nadu General Sales Tax Act within a period of twelve weeks from the date of receipt of a copy of this order. - Writ Petition Nos. 27093, 27094, 27095 of 2006 - - - Dated:- 8-4-2010 - CHITRA VENKATARAMAN , J. ORDER:- MRS. CHITRA VENKATARAMAN J. The petitioner herein seeks quashing of the order passed by the first respondent herein dated February 22, 2006 and to direct the first respondent to pay the interest due to the petitioner for the assessment years 1997-98, 1998-99 and 1999-2000. Certain facts are not in dispute in this case. The three writ petitions relate to the assessment years 1997-98, 1998-99 and 1999-2000, respectively. The original assessment for the assessm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Tamil Nadu Taxation Special Tribunal, directing payment of interest at one per cent as against per cent granted, holding that the assessee could approach the assessing officer for payment of interest as contemplated under the Rules, and on such application made, the assessing authority was directed to dispose of the same within a period of four weeks from the date of receipt of the order copy. Accordingly, the petitioner made his application, placing reliance on section 24(4) of the Tamil Nadu General Sales Tax Act, 1959 read with rule 32(2) of the Tamil Nadu General Sales Tax Rules, 1959. By order dated February 22, 2006, the Commercial Tax Officer rejected the plea for grant of interest, citing section 39A of the Tamil Nadu General Sales Tax Act that, if any excess amount is found to be due, the said amount shall be refunded to the assessee without interest. The assessing authority felt that since the order rejecting the grant of per cent interest per month was cancelled by this court, the question of grant of interest does not arise and hence, the petitions seeking payment of interest were rejected. Aggrieved by the same, the petitioner has come before this Court ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d to be in excess on final assessment or revision of assessment or as a result of an order passed in an appeal, revision or review, the excess amount shall be refunded to the dealer after adjustment of arrears of tax, if any, due from him and if the excess amount is not refunded within a period of 90 days from the date of order of assessment or revision of assessment and in the case of an order passed in an appeal, revision or review, within a period of 90 days from the date of receipt of the order, the Government has to pay interest at the rate of one per cent or part thereof on such amount for each month or part thereof after the expiry of the said period of 90 days. The Explanation appended to section 24(4) of the Tamil Nadu General Sales Tax Act states that the expression order passed in appeal, revision or review shall not include an order passed in such appeal, revision or review with a direction to make a fresh assessment order. Rule 32 of the Tamil Nadu General Sales Tax Rules speaks about communication of the order of the appellate authority and giving effect to the order of the authority wherever review has to be made on the assessment made consequent on the result o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have the payment of interest on the belated refund order cannot be slightly rejected. It is no doubt true that under section 24(4) of the Tamil Nadu General Sales Tax Act, the contemplation is that interest shall be paid from the 91st day from the date of receipt of the order passed in an appeal, revision or review as against 90 days from the date of the order of assessment and revision of assessment. In the present case, even though the appellate authority had passed an order, particularly with reference to the assessment years 1998-99 and 1999-2000, received by the respondents on September 14, 2001, yet, for the reasons best known, the giving effect order was passed on July 2, 2002 only beyond the 90 days' time-limit. The order on revision of the assessment was passed only on February 5, 2003. Hence, applying the provisions for section 24(4) of the Tamil Nadu General Sales Tax Act as well as to rule 32(2) of the Tamil Nadu General Sales Tax Rules, the only conclusion that one draws in this case is that the petitioner is entitled to have the interest paid as per section 24(4) of the Tamil Nadu General Sales Tax Act. The petitioner claimed interest payable for the assessm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dents that the petitioner is not entitled to claim interest as contemplated under section 24(4) of the Tamil Nadu General Sales Tax Act. In the circumstances, going by the provisions of section 24(4) of the Tamil Nadu General Sales Tax Act read with rule 32(2) of the Tamil Nadu General Sales Tax Rules, on account of the extraordinary delay in passing an order under section 39A of the Tamil Nadu General Sales Tax Act by nearly 13 months in the case of assessment years 1998-99 and 1999-2000 and in the case of assessment year 1997-98, by more than 29 months, I have no hesitation in granting the relief to the petitioner, thereby directing the first respondent to pay interest to the petitioner at 12 per cent per annum on the refund ordered on expiry of the 90th day from the date of receipt of the appellate order for the assessment years 1997-98, 1998-99 and 1999-2000. The first respondent shall pass the order granting interest as per section 24(4) of the Tamil Nadu General Sales Tax Act within a period of twelve weeks from the date of receipt of a copy of this order. The writ petitions are ordered accordingly. No costs. Connected M.P. Nos. 1, 1 and 1 of 2006 are closed. - - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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