9911796707
TMI Blog1976 (3) TMI 213X X X X Extracts X X X X X X X X Extracts X X X X ..... o assessment years 1972-73 and 1973-74. The facts leading to the filing of these two revisions are these: The respondent, the Hindustan Shipyard Ltd., is a registered dealer under the Andhra Pradesh General Sales Tax Act and the Central Sales Tax Act. It obtained C forms and issued them to the sellers from whom it purchased the goods required for ship-building activity. The turnover relating to the purchase of goods is exempted from tax under the Central Act between the period 1st July, 1957, to 31st March, 1967. The Commercial Tax Officer issued notice proposing to assess the respondent on the amounts received towards ship construction work. Then the respondent filed a writ petition challenging the said notice contending that the terms o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 10A. The Hindustan Shipyard is a Government of India concern in the public sector under the control and supervision of the Ministry of Transport and Shipping. The Government of India, to avoid unnecessary litigation, requested the petitioner to exempt the Hindustan Shipyard from sales tax both in respect of ship-building and ship repairing activities permanently under section 9 of the Andhra Pradesh General Sales Tax Act. The State Government granted exemption only for ten years from 1957 to 1967. The request of the respondent for permanent exemption after 1967 was rejected. That led to the filing of a writ petition in this court challenging the notice of assessment issued by the Commercial Tax Officer, and this court, as already referred t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... form of power." Section 10(d), which is relevant in this case, reads: "If any personafter purchasing any goods for any of the purposes specified in clause (b) or clause (c) or clause (d) of sub-section (3) of section 8 fails, without reasonable excuse, to make use of the goods for any such purpose; he shall be punishable with simple imprisonment which may extend to six months, or with fine, or with both; and when the offence is a continuing offence, with a daily fine which may extend to fifty rupees for every day during which the offence continues." Section 10A(1) provides for imposition of penalty, in lieu of prosecution, of a sum not exceeding one-and-a-half times the tax which would have been levied under sub-section (2) of section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ied upon the certificate of registration, which authorised it to make use of the articles purchased in the manufacture of goods. According to the respondent, it was under the bona fide belief that the certificate of registration empowered it to use the goods for manufacturing purposes; it had used them in the execution of works contracts and not with any deliberate intention to contravene the requirements of section 8(3)(b). It would appear from the facts that the respondent is technically guilty of contravention, but not in conscious disregard of the requirements of section 8(3)(b) read with section 10(d) of the Central Sales Tax Act. The sales tax authorities were equally aware of the decision of this court reported in Hindustan Shipyard ..... X X X X Extracts X X X X X X X X Extracts X X X X
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