TaxTMI 
TaxTMI 
2012 (11) TMI 1046
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....d and the case of the petitioner was taken up for scrutiny and assessment was finalised on March 16, 2011 and it was found that the petitioner was entitled for refund of Rs. 43,88,385. The refund was due to excess deduction of tax at source. Since no refund was received along with the assessment order, the petitioner filed application dated July 27, 2011 requesting for issuance of refund voucher. The application for refund was received by the respondent on August 9, 2011. However, the order of assessment was rectified and the refund amount was reduced to Rs. 43,84,385 vide order dated September 2, 2011. The refund voucher was not issued to the petitioner in spite being quantified as early on March 16, 2011 by the assessment order and almost an year had passed, no refund had been received. Accordingly, writ petition was filed, placing reliance on section 20 of the Act and rules 41 and 42 of the Haryana Value Added Tax Rules, 2003 (hereinafter referred to as "the Rules"). Reliance was also placed upon the judgment of this court in CWP No. 8383 of 2000 titled Pardeep Traders v. State of Punjab decided on August 3, 2000. 3. In the short reply filed on behalf of respondents Nos. 1 and ....
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....f any person has charged any amount purported to be tax in excess of the tax leviable, no order allowing refund of the excess amount shall be passed in his favour by any authority under this Act or by any court unless he refunds such amount to those from whom it was charged, and where charged from a VAT dealer, the input tax shall be duly adjusted. (2) No refund of input tax shall be admissible to a VAT dealer except,- (a) in respect of input tax relating to the goods which have been sold in the course of export of goods out of the territory of India or have been used in manufacture and the manufactured goods have been sold in the course of export of goods out of the territory of India, in full; and (b) in respect of input tax relating to the goods which have been sold in the State or in the course of inter-State trade or commerce or have been used in manufacture and the manufactured goods have been sold in the State or in the course of inter-State trade or commerce, only to the extent of such input tax exceeding the tax including the Central sales tax calculated on sale of goods on account of difference in rate of tax between the input tax and the tax calculated on sales, and t....
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....g the order allowing the refund, shall carry with it simple interest at the rate of one per cent per month for the period from the date of passing the order allowing the refund to the date when the refund is made. (11) Where any question arises as to any period to be excluded for the purposes of calculation of interest payable under sub-section (9) or sub-section (10) because the delay for the period in question has been due to the fault of the assessee entitled to the refund, such question shall, after giving the assessee a reasonable opportunity of being heard, be determined by the Commissioner by an order in writing." 7. Rule 41(4) of the Rules provides that the refund is to be paid within 60 days from the date of assessment order allowing the refund and interest is to be paid to the claimant at one per cent per month from the date of the order to the date when the refund payment order or refund adjustment order is issued. The said rule is in the following terms: "41. (4) While framing the assessment of a dealer for any period, the assessing authority shall, after such scrutiny of its record and the record maintained by the dealer and after making such enquiries as it conside....
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....f being hear." 9. A perusal of section 20(9) of the Act shows that the amount refunded after 60 days from the date of making application under sub-section (5) shall carry simple interest at one per cent per month for the period from the date of making the application to the date when refund is made. Section 20(10) further provides that the amount due to the dealer under section 20(4) but not refunded within 60 days from the date of the order of approval of the refund by the prescribed authority would carry simple interest at one per cent per month from the date of the passing the order allowing the refund to the date when the refund is made. 10. In the present case, the assessment order was firstly passed on March 16, 2011 and thereafter there was a rectification order on September 2, 2011 wherein the amount of refund was reduced from Rs. 43,88,385 to Rs. 43,84,385. The authorities did not act on the application of the petitioner for refund dated July 27, 2011 which was received by them on August 9, 2011. A perusal of the record produced shows that the case of the petitioner for refund was forwarded vide order dated November 3, 2011 to JETC for onward transmission to the Commissi....