2013 (8) TMI 1006 - HC - VAT and Sales Tax

Summary

Issues:
The sales tax revision petition challenging the order of the Tax Board allowing the appeal of the respondent-assessee and reversing the order of the assessing officer.

Issue 1: Retrospective Amendment and Benefits
The respondent-assessee claimed benefits under a retrospective amendment made by the State of Rajasthan in 2007, which amended a notification from 1987. The counsel for the respondent argued that the Tax Board correctly concluded that the benefits were available to the assessee, citing previous judgments supporting similar claims under the Incentive Scheme of 1987.

Issue 2: Violation of Sales Tax Incentive Scheme
The petitioner-Department contended that the respondent-assessee had violated clause 4(e)(i) of the Sales Tax Incentive Scheme, 1987 by engaging in activities not in accordance with the benefits conferred. Despite not disputing the retrospective amendment and previous court judgments, the petitioner sought to reverse the Tax Board's order.

Judgment:
After considering the arguments and relevant notifications, the court found that the retrospective amendment issued in public interest by the State Government conferred benefits to similarly situated assessees. Citing previous judgments, the court held that the Tax Board had correctly decided in favor of the respondent-assessee. Consequently, the revision petition was dismissed, deciding the question of law against the petitioner-Department and in favor of the respondent-assessee.