2015 (7) TMI 1407 - HC - VAT and Sales Tax

Benefit of input tax credit - credit allowed to dealer without verifying the nature of transaction - Levy of Entry tax - HELD THAT - The Tribunal has examined the matter at length and has recorded findings of fact that at the time of making the transaction the registration of the assessee was intact. The second finding recorded is that all the transactions were found to be genuine one and had been made against valid documents which were also produced before the authority. All the transactions were made through banking papers and the accounts were found to be genuinue. Levy of Entry Tax - HELD THAT - Since the imposition of tax itself has been held to be bad, there is no question of attracting any entry tax in the same. There are no reason to interfere with the order of the tribunal. No other question was argued - revision dismissed.

Summary

The High Court of Allahabad dismissed the revision filed by the State for the assessment year 2010-11 against the tribunal's order. The Tribunal found that the dealer was justified in receiving the benefit of input tax credit as all transactions were genuine and supported by valid documents. The Court upheld the Tribunal's decision, stating that no question of law arose. The imposition of entry tax was also deemed invalid. The revision was dismissed with no costs.