TMI Blog2012 (2) TMI 452X X X X Extracts X X X X X X X X Extracts X X X X ..... o the VAT dealer for the tax charged in respect of all purchases of taxable goods, made by that dealer during the tax period. The failure on the part of M/s. Karat 24 to file returns or remit the tax component of the sales made to the petitioner cannot per se be a ground to deny input-tax credit - the invoices produced by the petitioner are not fraudulent or in dispute that it had been issued by M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ged in the business of gold and jewellery (bullion). During the tax period from April 2008 to March 2009, the petitioner purchased bullion from a local registered dealer, M/s. Karat 24, having TIN No. 28910171563, for ₹ 52,40,700, inclusive of tax and claimed input-tax credit of ₹ 51,889. On verification by the Revenue of the genuineness of the registered VAT dealer, it was found that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... APSTJ 69, Sri Kumar, learned counsel for the petitioner, contends that since M/s. Karat 24 was a registered dealer during the relevant period and had issued the invoices verifying deduction of tax on the purchase of jewellery by the petitioner, and in view of the provisions of section 13(1) of the Andhra Pradesh Value Added Tax Act, 2005, the petitioner is entitled to claim input-tax credit and c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction and did not pay tax, cannot be sustained. The above principle is a fortiori applicable since section 13(1) of the 2005 Act entitles input-tax credit to the VAT dealer for the tax charged in respect of all purchases of taxable goods, made by that dealer during the tax period. The failure on the part of M/s. Karat 24 to file returns or remit the tax component of the sales made to the petiti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ceedings dated January 23, 2012 issued by the first respondent are quashed. It is however open to the first respondent to pass a revised order of assessment, if there be any material on the basis of which the input-tax credit could be denied, except on the ground that M/s. Karat 24, despite being a registered dealer on the relevant date, did not remit the tax. The writ petition is allowed as ab ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
