TMI Blog2019 (4) TMI 637X X X X Extracts X X X X X X X X Extracts X X X X ..... nt of any tax duty, fees, cess or any other levies under any existing State Law including the Act.' The Tribunal had noticed that the developer or co-developer of a SEZ has not been exempted from payment of tax under the Act by Section 7(6) of the Act and only an individual unit/dealer has been exempted for setting up of the unit in SEZ area. The Tribunal while setting aside the observations of the appellant as recorded in para 3 (iii) of the clarification order issued under Section 56(3) of the Act, had recorded that a developer and co-developer of an SEZ are entitled for exemption from payment of tax under the Act by virtue of Section 11(1)(i) of the HSEZ Act - No illegality or perversity could be pointed out by the learned counsel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and sustainable in the eyes of law? b) Whether the mandate of Section 7(6) of the Haryana Value Added Tax Act, 2003 is not clear about granting exemption from payment of VAT to an 'individual industrial unit or dealer' and not to a developer or a co-developer' of a SEZ area? c) Whether the Central Special Economic Zone (CSEZ) Act, 2005 has overriding effect on Haryana Special Economic Zone Act, 2005 wherein the specific provision under Section 11(1) of the HSEZ Act, 2003 does not provide any exemption from payment of tax to Developer/codeveloper? d) Whether in view of the clarification under Section 56(3) of HVAT Act, 2003 issued by the Government, the benefit of exemption from payment of VAT is applicable only to ' ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m payment of tax under the Act by virtue of Section 11(1)(i) of the Haryana Special Economic Zone Act, 2005 (in short HSEZ Act ). Hence, the present appeals. 4. After hearing learned counsel for the parties, we do not find any merit in the appeals. 5. It would be advantageous to refer Section 7(6) of the Act and Section 11(1)(i) of the HSEZ Act which read thus:- 7(6). Notwithstanding anything contained in this Section, no tax under this Act shall be payable by any dealer in respect of sale of any goods made by such dealer to a registered dealer for the purpose of setting up, operation maintenance, manufacture, trading, production, processing, assembling, repairing, reconditioning, reengineering, packaging or for use as packing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lthough the conclusion in the impugned order that developer or codeveloper of a SEZ has not been exempted from payment of tax under the HVAT Act by section 7(6) of the HVAT Act and only an individual unit/dealer has been exempted for setting up of the unit in SEZ area is correct, but observation in para 3 (iii) of the impugned order is unsustainable and is liable to be set aside and the impugned order has to be supplemented by holding that a developer and co-developer of a SEZ are entitled to exemption from payment of tax under the HVAT Act by virtue of Section 11(1)(i) of the HSEZ Act. It is ordered accordingly. 8. No illegality or perversity could be pointed out by the learned counsel for the appellant in the aforesaid conclusion re ..... X X X X Extracts X X X X X X X X Extracts X X X X
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