2017 (12) TMI 619

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..... osition Tax permissible to be filed under Section 15 of the Karnataka Value Added Tax, 2003 ('Act' for short). 2. The said benefit has been denied to the assessee - petitioner on the ground that as per Rule 135(4) of the Karnataka Value Added Tax Rules, 2005 ('Rules' for short), a Dealer selling liquor is not entitled to have the benefit of composition of tax under Section 15 of the Act. 3. The Assessing Authority has assigned the reason that since the petitioner-assessee holds common registration vide TIN No.29381132763 for all its businesses jointly, therefore in view of the admitted selling of the liquor by the Dealer in its 3 Star Hotel under the duly granted excise licence, the petitioner assessee would not be entitled to avail the c .....

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..... owers the Commissioner to treat separate Units of the business by providing for separate registration for separate Units to the assessee in this regard. 6. The relevant provisions of Sections 15(2)(e) and 38(6) of the Act and Rule 135(4) of the Rules are quoted below for ready reference: "15. Composition of tax ......... 2) Notwithstanding anything contained in sub-section (1), a dealer whose nature of business is of a type falling under more than one clause of sub-section (1), shall be eligible to opt for composition under the said sub-section in respect of tax payable on his turnover relating to any or all of such types of business subject to the condition that.- ............. (e) in respect of such type of business for which, .....

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..... ts Units or Divisions namely, 3-Star Hotel run by it. The petitioner also holds a common registration number with the Respondent-Department. Merely because the petitioner - assessee can bifurcate the turnover relating to different commodities and the Respondent-Assessing Authority can also verify the same, it does not entitle the petitioner-assessee to claim blanket benefit of composition under Section 15 of the Act. The Act also permits separate Units and Divisions of the same dealer to be separately registered with the prior approval of the Commissioner under Section 38(6) of the Act quoted above. While it is for the Department to verify the bifurcated turnover for different commodities eligible for composition and ineligible category, bu .....

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