2010 (2) TMI 1305 - SC - VAT and Sales Tax

Summary

Issues Involved:
1. Tax Arrears and Deposits
2. Current Liability Payments
3. Refund Undertaking by State
4. Interim Order Modifications
5. Separate Interlocutory Applications
6. Reconciliation of Outstanding Amounts
7. Intervention/Impleadment Applications

Summary:

1. Tax Arrears and Deposits:
M/s. Bhushan Steel and Strips Limited: The Department claims Rs.38.79 crores due as of 30th September, 2009. The Court directed the assessee to deposit Rs.7.50 crores under protest by 31st March, 2010, considering Rs.8.42 crores already paid.

M/s. Bhushan Energy: The Department claims Rs.10.32 crores due as of 30th September, 2009. The Court directed the assessee to deposit Rs.2.50 crores under protest by 31st March, 2010.

M/s. Vedanta Alumina Limited: The Department claims Rs.19.76 crores due as of 30th September, 2009. The Court directed the assessee to deposit Rs.3.50 crores under protest by 31st March, 2010, considering Rs.44 crores already paid.

Reliance Industries Limited: The Court directed the Company to deposit Rs.62 lakhs under protest by 31st March, 2010.

2. Current Liability Payments:
M/s. Bhushan Steel and Strips Limited: The assessee will pay Entry tax on an ad-hoc figure of Rs.30 lakhs per month from 1st October, 2009, as per Paragraph (30) of the Orissa High Court judgment.

M/s. Bhushan Energy: The assessee will pay Entry tax on an ad-hoc figure of Rs.10 lakhs per month from 1st October, 2009.

M/s. Vedanta Alumina Limited: The assessee will pay Entry tax on an ad-hoc figure of Rs.7.50 lakhs per month from 1st October, 2009.

Reliance Industries Limited: The assessee will continue to pay taxes on a month-to-month basis as per the Returns filed and to be filed.

3. Refund Undertaking by State:
The State of Orissa will file an affidavit undertaking to refund the amount with interest if the State loses its case. This undertaking will be given by the Chief Secretary of the State. The amounts directed to be paid by the assessees shall be treated as deposits and not as tax until the final disposal of the matter.

4. Interim Order Modifications:
The interim order passed by this Court on 30th October, 2009, stands modified to the extent indicated above for each interlocutory application.

5. Separate Interlocutory Applications:
For items not covered by Paragraph (30) of the impugned judgment, liberty is given to the assessees to move separate interlocutory applications.

6. Reconciliation of Outstanding Amounts:
In the traders' list (List-A), there are discrepancies in the outstanding amounts for Reliance Communications Infrastructure Limited and Reliance Communications Limited. The assessees are directed to reconcile the figures with the State within one week.

7. Intervention/Impleadment Applications:
All intervention/impleadment applications will be confined to the constitutional validity of the impugned law. Applicants will not be entitled to an unconditional stay and the State can move against each such applicant in accordance with law. The order passed is confined only to the parties mentioned in List-A and List-B.

Subject to the above, the interlocutory applications are accordingly disposed of.