9911796707
TMI Blog2010 (9) TMI 1002X X X X Extracts X X X X X X X X Extracts X X X X ..... D by an industrial unit holding exemption certificate under rule 28A of the Haryana General Sales Tax Rules, 1975 for the purpose of computing notional sales tax liability as defined in clause (n) of sub-rule (2) of rule 28A? (2) If answer to the above question is in favour of the Revenue, then, whether the instructions issued by the Excise and Taxation Commissioner to the Assessing Authorities vide Memo No. 1314/ S.T.I.dated May 19, 1994 but later superseded vide memo dated March 25, 1997, shall act as an estoppel to applying the higher rate of tax than the concessional rate for the period before March 25, 1997?" In short, the facts are that the respondent-assessee was an industrial unit and holding exemption certificate issued un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... les tax applicable under the provisions of the Act on sale of the said goods, vide order dated May 19, 1999. This resulted in exhausting of the prescribed limit and thereby making a demand of Rs. 1,10,443 from the respondent. In appeal carried by the assessee, the Tribunal concurred with the computation made by the assessing officer. The orders of the revising authority were, thus, quashed and that of the assessing officer restored, vide order dated May 15, 2000. The State of Haryana sought review of the order passed by the Tribunal. The review application was dismissed vide order dated May 18, 2004, observing that there was no error in deciding the appeal and as such the parameters for taking up the matter for review under section 41 of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , and not the maximum rate as urged by the State. We find merit in the submission made by the learned counsel for the assessee-dealer. In order to ascertain the notional sales tax liability for the purpose of deduction thereof from the quantum of benefit of exemption which is admissible to a dealer, the sales tax shall be calculated at the rate applicable to the transaction under the Act and not at the maximum rate of sales tax. This court in Kagaz Print-N-Pack (India) Pvt. Ltd.'s case [2007] 5 VST 26 (P&H) dealing with similar issue held as under: ". . . That article 286 of the Constitution of India clearly debars the State Legislature to impose tax on the turnover of goods exported outside the country. Section 12 of the Act itself p ..... X X X X Extracts X X X X X X X X Extracts X X X X
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