2023 (11) TMI 1161 - SCH - VAT and Sales Tax

Recovery of the amount refunded to the respondent assessee - respondent submitted that the impugned order has been complied with by the State Government inasmuch as the amount to be refunded to the respondent has in fact been refunded and therefore, the correctness or otherwise of the impugned order would not call for further consideration in this appeal - HELD THAT - Having regard to the compliance of the directions issued by the Division Bench of the High Court made by the appellants herein the correctness or otherwise of the impugned order would not call for any further consideration. However, since the dispute between the parties is still at large and in the event the appellants herein are successful, liberty is reserved to the appellants to seek recovery of the amount refunded to the respondent-assessee in accordance with law. Appeal disposed off.

Summary

Issues involved:
- Appeal against order of Andhra Pradesh High Court at Hyderabad in W.P. No.4977/2009.
- Compliance with impugned order by State Government.
- Dispute between parties pending before Assessing Officer post remand by Division Bench.
- Refund made to respondent-assessee.
- Liberty reserved for appellants to seek recovery if successful.

Issue 1: Appeal against High Court order
The appeal was filed to challenge the order of Andhra Pradesh High Court at Hyderabad in W.P. No.4977/2009, which was subsequently prosecuted by the State of Telangana post the bifurcation of the erstwhile State of Andhra Pradesh.

Issue 2: Compliance with impugned order
The respondent submitted that the impugned order had been complied with by the State Government as the refund amount was already paid to the respondent. The correctness of the order was deemed unnecessary due to compliance.

Issue 3: Dispute pending before Assessing Officer
The main dispute between the parties was still pending before the Assessing Officer after the Division Bench remanded the matter for fresh assessment orders. The respondent highlighted that the final assessment order was yet to be passed.

Issue 4: Refund to respondent-assessee
It was acknowledged that the respondent-assessee had received the refund from the State Government, as recorded in an interim order dated 11.02.2010, pending the revision before the High Court.

Issue 5: Liberty reserved for recovery
In case the appellants were successful against the respondent-assessee, liberty was reserved for the appellants to seek recovery of the refunded amount in accordance with the law, as the order of the Assessing Officer was not considered final.

Separate Judgement:
- The Division Bench of the High Court for the State of Telangana at Hyderabad disposed of Tax Revision Cases in favor of the respondent-assessee on 24.08.2023.
- The appellants had the right to challenge the High Court's judgment before the Supreme Court, and any refund made to the respondent-assessee was subject to further orders by the Supreme Court.
- All contentions were kept open for future cases, and liberty was reserved for the appellants to seek recovery if successful in challenging the High Court's judgment.