2011 (2) TMI 1564 - HC - VAT and Sales Tax

Summary

Issues involved: Interpretation of government order dated 28.8.1993 for refund of sales tax to export oriented units.

Summary:
The petitioner, an industry engaged in the manufacture, sale, and export of cashew kernels, sought quashing of an endorsement and refund of sales tax as per a Government Order dated 28.8.1993. The petitioner claimed entitlement to the refund based on the government policy applicable to export oriented units. The Government Pleader argued that the government order was only applicable to new industrial units that were export-oriented. The matter was considered by the Commissioner multiple times, with the petitioner contending that the findings were not in line with the spirit of the government order. The government order provided for exemption of sales tax for export-oriented industrial units for a specific period, with conditions regarding the commencement of commercial production. The Court held that the petitioner's unit, established in 1958, did not meet the criteria for exemption under the government order as it was not a new unit established around August 1993 or thereafter. The Court dismissed the petition, upholding the Commissioner's decision that the government order was not applicable to the petitioner.