2018 (9) TMI 2140 - HC - VAT and Sales Tax

Refusal to grant the input tax credit - Section 28(2)(i) U.P. VAT Act - HELD THAT - After perusal of record, there is no justification that the Tribunal has allowed the appeal and has ignored the findings recorded by the First Appellate Authority while remanding the matter back to the Assessing Authority to re examine the material and evidence against the claim by the assessee. The matter is remanded to the Assessing Authority with the direction that the entire proceedings must be concluded, after providing an opportunity to the assessee, within a period of three months from today - Revision allowed.

Summary

Issues: Delay Condonation Application, Input Tax Credit, Remand Order, Tribunal's Decision

Delay Condonation Application:
The judgment begins with the Hon'ble Ashok Kumar, J., ordering the condonation of delay in filing the revision, stating that the cause shown is sufficient. The delay condonation application is allowed, and the order on revision is subsequently discussed.

Input Tax Credit:
The revision pertains to a Commercial Tax Revision arising from an order passed by the Commercial Tax Tribunal regarding the refusal of input tax credit amounting to Rs. 1,20,56,753 for the assessment year 2010-2011. The Assessing Authority's decision to deny the input tax credit led to an appeal before the Additional Commissioner Grade-II (Appeals) Commercial Tax, who remanded the matter back to the Assessing Authority for a fresh reasoned order after considering relevant material.

Remand Order:
The First Appellate Authority remanded the matter back to the Assessing Authority, directing a fresh reasoned order after considering relevant material provided by the assessee. However, the Tribunal, in the Second Appeal No. 162 of 2016, allowed the appeal against the remand order, prompting the present revision.

Tribunal's Decision:
After perusing the record, it was concluded that the Tribunal's decision to allow the appeal and disregard the findings of the First Appellate Authority was unjustified. Consequently, the order of the Tribunal was set aside, and the revision was allowed, directing the Assessing Authority to pass a reasoned order in accordance with the First Appellate Authority's directive within three months from the judgment date.

This detailed analysis covers the issues of delay condonation application, input tax credit denial, remand order, and the Tribunal's decision, providing a comprehensive overview of the judgment rendered by the Allahabad High Court.