TMI Blog2015 (12) TMI 182X X X X Extracts X X X X X X X X Extracts X X X X ..... ne and it had made payment of VAT to the seller. Moreover, it is not within the control of the purchaser to ensure that the tax invoice contains his name and TIN No. as it is issued by the seller. Unless a mandatory duty is cast on the seller to issue tax invoice with such particulars, the purchasers cannot be penalized for no fault of theirs. Assessing Officer was not justified in declining the benefit of input tax credit only on the ground that the tax invoices did not contain the name of the buyer and also its TIN number. No doubt, non mentioning of the name and the TIN number can be a circumstance, but it cannot be held to be conclusively against the purchaser. The judgment cited by learned counsel for the State in Babu Verghese's case (1999 (3) TMI 628 - SUPREME COURT) was different. The question involved therein was validity of extension granted by the Bar Council of India to existing members of Kerala Bar Council (KBC) under proviso to Section 8 of the Advocates Act, 1961 and consequent validity of elections held by KBC during the extended term. - Matter remanded back - Decided in favour of assessee. - VATAP No.37 of 2014 - - - Dated:- 8-9-2015 - Mr. Ajay Kumar Mittal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e in Form N.2 is not barred by limitation? vi)Whether the order passed by the Haryana Tax Tribunal Annexure A.4 was right in not remanding the case when full Bench of Haryana Tax Tribunal had already remanded large number of cases giving its observations to be decided afresh when similar issue is involved? 4. A few facts relevant for the decision of the controversy involved as narrated in VAT Appeal No.37 of 2014 may be noticed. The assessee is a proprietorship concern registered under the HVAT Act and the Central Sales Tax Act, 1956 (in short,. the CST Act ) having TIN No.06951817261. It is engaged in the manufacturing and trading of crushing stones material rori bajri and stone dust etc. The appellant purchases boulders from within the State of Haryana from one seller M/s Faridabad Gurgaon Minerals Limited, Faridabad who has been allotted the area on lease by Mines and Geological Department Haryana after payment of tax. M/s Faridabad Gurgaon Minerals Limited being a registered dealer is required to issue tax invoices as per the HVAT Act. The seller gives invoices to the appellant as issued to it by Mines and Geological department Haryana. Assessment of the seller is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was totally unjustified. Reliance was placed on judgments in Standard Concrete Stone Agency, Faridabad and others vs. State of Haryana and others,(1998) 12 PHT 185 (SC), CWP No.11495 of 2012, M/s SPL Industries Limited vs. Union of India and others, decided on 31.1.2013 (P H), State of Punjab and another vs. City Petro, (2009) 021 VST 0353, Marmagoa Steel Limited vs. Union of India, 2005(192) ElT 82 (Bom.) and Vimal Enterprise vs. Union of India, 2006(195) ELT 267 (Guj.), 7. Case of the revenue was that the tax invoices which were produced by the buyer did not contain the name of the buyer and also its TIN number. It was urged that in such circumstances, the Assessing Officer had rightly declined the benefit of input tax credit to the appellants. Reliance was placed on judgment of the Apex Court in Babu Verghese and others vs. Bar Council of Kerala and others, (1999) 3 SCC 422. 8. It would be advantageous to reproduce the relevant statutory provisions which read thus:- Section 2(w) (w) input tax means the amount of tax paid to the State in respect of goods sold to a VAT dealer, which such dealer is allowed to take credit of as payment of tax by him, calculate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ispatch showing the prescribed particulars; and (d) preserve a carbon copy of every invoice or delivery note issued under clause (a) or clause (c) for a period of eight years following the close of the year when the sale was made and where some proceedings under this Act are pending, till the completion of such proceedings. Rule 54(3) (3) An invoice or a delivery note shall at least contain the following particulars Tax invoice/Retail invoice/Sale invoice/Delivery Note Serial Number: Date: DD:MM:YY Time: HH:MM Note: - Time is to be mentioned by stone crusher owners, quarry contractors/lessees in every case, and by other dealers in case the value of goods exceeds ten thousand rupees. (i) Full name and address of the selling dealer/consignor with his TIN, if any (ii) Nature of transaction - whether sale, consignment transfer or job work etc. (iii) Name and address of the purchaser/ consignee (in case he is a dealer registered under the Act, mention his TIN) (iv) Description of goods (v) Quantity of goods (vi) Value of goods with break-up according to rate of tax applicable (In case of delivery ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s no reason why the benefit should be denied. Once the object for which a provision is enacted is satisfied merely venial or technical breach by itself should not permit the authorities to adopt a stand which frustrates the object for which the entire scheme of modvat has been framed. The endeavour must be to ensure that the scheme is made effective and not frustrated. In other words, the goods , which have been subjected to duty when used as inputs for manufacture of final product, should not be made to bear duty once again as that would have a cascading effect not intended by legislature in so far as the ultimate consumer is concerned. Therefore, even approaching from the view point of ensuring that the object with which the provision has been enacted is satisfied, if the facts of the present case are tested, the answer would be that the petitioner was entitled to avail of the modvat credit, the petitioner having done all that was possible within its powers and nothing further remained to be done so far as the petitioner was concerned.' 11. Similarly, the Bombay High Court in Marmagoa Steel Limited's case (supra) recorded thus:- 10. For availing the credit of du ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ecision is distinguishable on facts. Similarly, the decision of the tribunal in the case of Tata Iron and Steel Co. Limited (supra) is also distinguishable on facts as the said decision is based on erroneous concession made by the counsel for the appellant therein that in the case of Balmer Lawrie Co., it is held that the Modvat credit is not available on the basis of endorsed copies of bills of entry. 12. In the present cases, the Assessing Officer was not justified in declining the benefit of input tax credit only on the ground that the tax invoices did not contain the name of the buyer and also its TIN number. No doubt, non mentioning of the name and the TIN number can be a circumstance, but it cannot be held to be conclusively against the purchaser. The judgment cited by learned counsel for the State in Babu Verghese's case (supra) was different. The question involved therein was validity of extension granted by the Bar Council of India to existing members of Kerala Bar Council (KBC) under proviso to Section 8 of the Advocates Act, 1961 and consequent validity of elections held by KBC during the extended term. 13. In such circumstances, we find that the matter re ..... X X X X Extracts X X X X X X X X Extracts X X X X
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