9911796707
TMI Blog1992 (1) TMI 324X X X X Extracts X X X X X X X X Extracts X X X X ..... ting deferment of payment of sales tax for the period of its entitlement as adequately made out from the provisions of Haryana General Sales Tax Act, 1973, and the Rules framed thereunder with a prayer to quash orders, annexures P3 and P4, vide which State Level Committee held that the petitioner was not eligible for the grant of eligibility certificate for availing deferment of tax under the Act of 1973 and asking it to deposit the amount failing which recovery shall be effected by issuing arrest warrants as also by auctioning the property. The brief facts of the case deserve to be noticed first. The petitioner set up rice industry in the district of Ambala after November 1, 1983. The State of Haryana framed a scheme and decided to gra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his Court bearing No. 11683 in which too, notice of motion was issued and the order impugned in the said petition which was with regard to furnishing bank guarantee was stayed. The petition aforesaid came up for hearing on March 16, 1989 and the counsel appearing for the State made a statement in the court that the petitioner would not be asked to furnish bank guarantee till the matter was finally decided by the State Level Committee. Once again, on the basis of statement made by the counsel the writ petition was dismissed as having been rendered infructuous. The aforesaid statement was made by the counsel in ignorance of the fact that the meeting of the State Level Committee was actually held on March 13, 1989 of which meeting, however, no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... may be prescribed." The section reproduced above was inserted in the Act by Act No. 11 of 1984 and the very reading of the section makes it clear that the deferment of tax can be both prospective or retrospective but the same is subject to conditions as may be prescribed. The only conditions that have been adverted to either by are contained in rule 17B of the Haryana General Sales Tax Rules, 1975 (hereinafter to be referred as "the Rules of 1975'). Whereas clause (a) of rule 17B of the Rules of 1975 defines "new industrial unit", clause (b) of the aforesaid rule identifies eligible industrial unit. In so far as sub-clauses (i) to (vii) of clause (b) of rule 17B are concerned, the same need no reference. Admittedly the claim of the peti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... State Level Committee. We have gathered the impression that the true import of sub-clause (viii) of clause (1) of rule 17B(b) has not been correctly appreciated by the State Level Committee. There are two prerequisites for obtaining an eligibility certificate. Either the investment should be of Rs. 5 lakhs or more in the plant and machinery, or the unit, even though of lesser investment, may be employing not less than 10 persons. The committee seemingly was under the impression that both these conditions had to be satisfied at one and the same time. This, in our view, is not so. On the satisfaction of either of the two conditions, the petitioners would be eligible to get eligibility certificates. Secondly, we are satisfied that for such ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ryana, the only ground on which the claim of petitioner for getting eligibility certificate was declined on merit was that the petitioner although has invested an amount of more than Rs. 5 lakhs but on inspection it was found that it employed less than 10 persons. In other words, the stand of the respondent is the same that was disclosed to this Court in writ petition of M/s. Shiv Shakti Rice Mills supra. Even though nothing has been stated in the written statement but the learned Deputy Advocate-General has produced before me during the course of arguments notification issued by the Haryana Government published in the Gazette on September 1, 1989 vide which corrigendum was issued according to which the word "or" mentioned in rule 17B in cl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r or immediately before that. On express language of the statute as was then available, they invested lakhs of rupees in their business with a clear understanding as was available under the existing law that they would be entitled to deferment of payment of tax. It would be too inequitous and unjust to tell them at this stage that they would not be entitled to such deferment as there had been mistake in publishing the English version of rule 17B in clause (b), in item (1), sub-item (viii) of the Rules of 1975. Not only that the petitioners on belief of deferment of tax as per existing clause changed their position and invested huge amount but even the respondents all through laboured under the impression that the English version was as ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
