2017 (10) TMI 838

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..... , AC (AR) for the Respondent ORDER Per: Bench The brief facts are that appellants are engaged in the manufacture of Diesel Generating Sets. On verification of the appellants records namely General Ledger, Debit notes, it was noticed that appellants had collected certain amounts in addition to the amount charged from the buyers and it was also reflected in the Annual sales tax return that such .....

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..... real facts. The appellant is under tax holiday for the disputed period as per Notification No.15/74 issued by Government of Pondicherry. 3. As per this notification, the appellant avails tax holiday for both local sales tax and Central sales tax levied for interstate sales. During 2002, Section 8 of Central sales tax Act, 1956 was amended, wherein the sales tax exemption in case of interstate sa .....

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..... mount with sales tax authorities the amount so collected was reflected in their balance sheet under the heading 'Current Liabilities and Provision - deposit'. The appellant had not collected any amount illegally nor suppressed any facts. That appellant had collected the amount as abundant precaution not only to safeguard the interest of appellant, but also that of Revenue. The observation .....

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..... that appellant had no intention to evade payment of duty. He also produced the notice received from CTO, Pondicherry with regard to the amount collected and reflected in sales turnover for the period. The assessment order for the year 2003-2004 is also produced. 4. The learned AR Shri K.P. Muralidharan reiterated the findings in the impugned order. He submitted that when appellant has collected .....

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..... is assessed by sales tax authorities, then the same cannot be considered as additional consideration so as to be included in the assessable value. For verifying these aspects, the matter requires to be remanded to the adjudicating authority who shall look into the contention put forward by appellant and also verify whether the amount has become assessed or come under the supervision of Commercial .....

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