2012 (7) TMI 1057 - HC - VAT and Sales Tax

Summary

Issues involved: Interpretation of provisions of the Bombay Entertainment Duty Act, 1923 regarding the classification of a Trade Show as entertainment and the Addl. Collector's failure to follow the court's direction.

The High Court of Bombay addressed the issue of whether a Trade Show organized by the petitioner constitutes entertainment under the Bombay Entertainment Duty Act, 1923. The court noted that despite its previous direction to the Addl. Collector to decide this question, the Addl. Collector issued an order directing the petitioner to pay Entertainment Tax without considering the essential question. The court set aside the Addl. Collector's order and instructed a fresh decision after proper adjudication on whether the Trade Show falls under the definition of entertainment as per the 1923 Act. The court emphasized the importance of following its directives and ensuring a fair hearing for the petitioner. The Addl. Collector was directed to provide a personal hearing to the petitioner and to issue a new order based on merits and in compliance with the law by a specified date.

In conclusion, the High Court of Bombay made the rule absolute in the terms mentioned, with no specific order regarding costs, and kept all contentions open for further consideration.