1996 (11) TMI 404 - SC - VAT and Sales Tax

Application for eligibility certificate rejected - Held that - Appeal allowed. Apart from this bald assertion, there is no material produced by the respondents at any stage to support their claim that the price is not the real price. Moreover, the margin between the total amount of investment in the present case and the permissible limit of Rs. 20 lakhs specified in rule 3(66) is considerable, so that a bare assertion of this kind is alone not sufficient to reject the appellant s claim. The appellant was, therefore, entitled to grant of the eligibility certificate as claimed by it.

Summary

The Supreme Court allowed the appeal by M/s. Bani Polymers regarding the eligibility certificate under the Bengal Sales Tax Rules. The Court held that the investment in plant and machinery was below the prescribed limit of Rs. 20 lakhs, entitling the appellant to the certificate. The orders of the Assistant Commissioner and the Tribunal were set aside. (Case: 1996 (11) TMI 404 - Supreme Court)