TMI Blog2010 (9) TMI 967X X X X Extracts X X X X X X X X Extracts X X X X ..... led to act contrary to the existing law. In view of above settled legal position, we are unable to entertain this petition. - C.W.P. No. 14323 of 2010 - - - Dated:- 6-9-2010 - ADARSH KUMAR GOEL AND AJAY KUMAR MITTAL, JJ. The judgment of the court was delivered by ADARSH KUMAR GOEL J. This petition challenges order passed under section 56(3) of the Haryana Value Added Tax Act, 2003 (annexure P7). It also challenges section 8(1) of the Act which restricts input-tax credit on transfer of goods within the State on the ground that it was contrary to the promise made in white paper (annexure P4) issued by the Empowered Committee of State Finance Ministers. The case of the petitioner is that it is in the business of trading in s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ana Value Added Tax Act, 2003 ? Clarification given by impugned order is that under the provisions of the VAT Act, 2003, no input-tax credit could be allowed on goods purchased and transferred outside the State as section 8 denies input-tax credit in respect of such goods. We have heard learned counsel for the petitioner. The learned counsel for the petitioner submits that denial of input-tax credit in the VAT Act is contrary to the contents of policy declaration issued in white paper, reproduced above. Reliance is placed on the judgment of the honourable Supreme Court in State of Punjab v. Nestle India Ltd. [2004] 136 STC 35 (SC) ; AIR 2004 SC 4559, holding that the State was bound by the principles of promissory estoppel. We ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t Sugar Mills Co. Ltd. v. State of U.P. [1979] 44 STC 42 (SC); [1979] 2 SCC 409, it was observed: . . . Thus, if the statute does not contain a provision enabling the Government to grant exemption, it would not be possible to enforce the representation against the Government, because the Government cannot be compelled to act contrary to the statute. But if the statute confers power on the Government to grant the exemption, the Government can legitimately be held bound by its promise to exempt the promisee from payment of sales tax. After applying the said principle, it was held as under: In the case before us, the power in the State Government to grant exemption under the Act is coupled with the word may signifying the discret ..... X X X X Extracts X X X X X X X X Extracts X X X X
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