TMI Blog2017 (3) TMI 1648X X X X Extracts X X X X X X X X Extracts X X X X ..... r was not even born during the currency of the notification dated 23.7.1999, which as observed earlier was valid only for five years up till 23.7.2004. The petitioner had taken no steps whatsoever for setting up its industrial unit during the currency of the notification dated 23.7.1999, which remained operative up till 5 years i.e. 23.7.2004 and whatever steps were taken to set-up the industry including the registration with the Industry Department was taken after 23.07.2004 i.e. after the scheme has come to an end. All the other effective steps for setting up the industrial unit were taken by the petitioner when the notification dated 30.3.2005 had been issued. However, since the goods manufactured by the petitioner fell within the negative list, it was not entitled to the benefit of the Scheme. The doctrine of promissory estoppel is clearly not attracted, as the unit of the petitioner admittedly falls within the negative list and it is therefore not entitled to the benefit of deferred payment of tax that too under the notification dated 23.7.1999. Petition dismissed - decided against petitioner. - CWP No. 8164 of 2011 - - - Dated:- 28-3-2017 - Mansoor Ahmad Mir C. J. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... deferment (1) The facility of making deferred payment of sales tax under the Act shall be admissible to eligible units only for a period of ninety six months (8 years) in industrially backward areas, sixty months (5 years) in industrially developing areas and for a period of ninety six months (8 years) to priority industrial units. (2) The period of deferment specified in sub para (1) shall be reckoned from the date of commencement of commercial production or the date of notification of this scheme whichever is later. 4. The State Government on the expiry of the aforesaid notification further issued another notification on 30.03.2005 (Annexure P-11), whereby it granted the benefit of deferred payment of entire tax for a period of 5 years to units in A category area and 8 years for units in B category area. However, as per entry 22 of Annexure - 1, Mini Steel Plants induction/ Arc/ Submerged furnaces and/or rolling mills were placed in the negative list, thereby dis-entitling the manufacturer of the aforesaid goods for the deferred payment of tax. Admittedly, the petitioner is engaged in the business of installing furnaces, rolling steel mills and to manufacture S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... has not been included in the tax free industrial zone; (ii) It has not been included in the negative list; 9. On the basis of the aforesaid criteria, it is averred that since goods manufactured and sold by the petitioner have been placed in the negative list, therefore, he is not entitled to the facility of making deferred payment of tax. We have heard the learned counsel for the parties and have gone through the records of the case. 10. It is vehemently argued by Mr. G.R. Sethi, Advocate, duly assisted by Mr. Sandeep Chauhan, Advocate, that the principle of promissory estoppel is clearly applicable to the facts of the case, therefore, the decisions rendered by all the authorities under the Act are wrong, illegal and deserve to be quashed and set aside and the petitioner is entitled to the benefit of deferred payment of tax. 11. On the other hand, Mr. Anup Rattan, learned Additional Advocate General, would vehemently argue that since the petitioner is not entitled to the benefit of deferred payment of tax under notification dated 23.07.1999, as during the validity of this period, petitioner had taken no steps to establish the unit and came into production only ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... enough that the petitioner relied upon the promise or representation held out, and altered its position relying upon such assurance 15. However, the moot question is whether the principle of promissory estoppel is applicable to the facts of the instant case. 16. Admittedly, the notification dated 23.7.1999, remained in force fully for a period of 5 years, whereby the deferred payment of sales tax was available to the units relating to Mini Steel Plants induction / Arc / Submerged furnaces and / or rolling mills, only available up till 23.07.2004. After 23.7.2004, the notification ceased to exist and it is only vide notification dated 30.3.2005, that the scheme for making deferred payment of tax was extended to the A B category areas, but as the unit of the petitioner was manufacturing SS/MS Ingot, billets and TOR SARIA, which admittedly fall in the negative list, the petitioner obviously was not entitled to the deferred payment of tax. 17. Apart from above, it would be noticed that the unit of the petitioner was granted provisional registration only on 26.08.2004 and by that time admittedly the notification dated 23.7.1999 remained in force for a period of five years ..... X X X X Extracts X X X X X X X X Extracts X X X X
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