2018 (3) TMI 1660 - HC - VAT and Sales Tax

Input tax credit - purchases made by it pursuant to D.E.P.B. licence - Held that - The Division Bench in the case of JAGRITI PLASTICS LTD., N.F. IMPEX PVT. LTD. VERSUS COMMISSIONER OF TRADE & TAXES 2015 (10) TMI 291 - DELHI HIGH COURT has held that D.E.P.B. scrips has contributed, if not directly then indirectly, to the price of imported commodity sold by the Assessee in the market - In the present case, the D.E.P.B. has been utilized to import the raw material and, therefore, the analogy has rightly been followed by the Tribunal in the facts of the present case also - The revision is, accordingly, dismissed.

Summary

The Allahabad High Court dismissed the revision challenging the Commissioner Tax Tribunal's order, which affirmed the Assessee's entitlement to Input Tax Credit on purchases made pursuant to a D.E.P.B. license. The decision was based on a Delhi High Court judgment regarding the contribution of D.E.P.B. scrips to the price of imported commodities. The High Court held that the concurrent findings of the lower courts were not subject to review in revisional jurisdiction.