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TMI Blog2019 (11) TMI 374X X X X Extracts X X X X X X X X Extracts X X X X ..... SUS DEPUTY COMMERCIAL TAX OFFICER (DG-CTO), KUMBAKONAM AND ANOTHER [ 2002 (12) TMI 573 - MADRAS HIGH COURT] , wherein the learned Single Judge after allowing the writ petition and quashing the impugned proceedings therein, granted liberty to the first respondent therein to set off the general sales tax already paid by the petitioner as against the entry tax payable for the vehicles concerned and to issue appropriate orders. Therefore, this Court is of the view that by applying Kasi and Sethu case, the Assessing Officer has to make adjustment towards the liability of the entry tax at the rate out of the amount already paid by the petitioner towards VAT - When such adjustment has to be made only after making correlation exercise, s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act, 1990, is a separate enactment and under Section 3 of the said Act, charge of entry tax is provided for the motor vehicles, which entered into the local areas of the State. Section 4 of the Entry Tax Act, provides for reduction in tax liability. Section 4 of the Entry Tax Act, is for the purpose to compensate the State from the loss of revenue of sales tax. During the course of VAT audit, a question was raised with regard to non-payment of entry tax on certain vehicles purchased by the petitioner/Company by way of interstate purchase against C declaration form contemplating the provisions of Section 8(4) of the Central Sales Tax Act, 1956. The petitioner/Company, during the course of VAT Audit, explained that whenever there were inte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was not paid by oversight. The Assessing Officer issued a notice of proposal dated 20.11.2017, and the petitioner filed their reply dated 11.12.2017 stating that in respect of 141 vehicles purchased from M/s.Isuzu Motors India Private Limited, the petitioner had not paid the entry tax, however, they had, in fact, paid the VAT. It is also contended by the petitioner that if the sales tax or VAT had been paid, though entry tax had not been paid, the Assessee cannot, again, be mulcted with entry tax liability, since the scheme of the law is for payment of only one tax, either entry tax or VAT. The said reply was filed by the petitioner before another officer, while the impugned assessment order was passed by the present officer after several ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in demanding the payment of entry tax without making adjustments from and out of the tax already paid by the petitioner under the TNVAT Act. 5. The learned Special Government Pleader, on the other hand, submitted that since the total number of vehicles involved in this case is 141, the Assessing Officer has to make correlation exercise to find out as to whether the VAT has been paid for all the vehicles as claimed by the petitioner, even for the purpose of applying the decision of this Court in Kasi and Sethu case, and for granting the relief. Therefore, without doing such exercise, the Assessing Officer will not be in a position to grant the relief to the petitioner automatically. He further submitted that in another c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such entry tax was not paid, has already been considered by this Court in Kasi and Sethu case, wherein the learned Single Judge after allowing the writ petition and quashing the impugned proceedings therein, granted liberty to the first respondent therein to set off the general sales tax already paid by the petitioner as against the entry tax payable for the vehicles concerned and to issue appropriate orders. It is seen that the said decision was followed in another case filed in W.P.Nos.11351 11352 of 2003 dated 28.04.2009 in the case of TVS Motor Company Limited Vs. The Entry Tax Officer and another. It is further seen that the above said order was put to challenge by the Revenue in W.A.Nos.1034 and 1035 of 2009, wherein, the Di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e and they are, accordingly, dismissed. No costs. Connected M.P. is closed. 8. Therefore, it is evident from the above findings of the Division Bench that the findings rendered in Kasi and Sethu case, is affirmed by the Division Bench of this Court though in another case, where the issue is one and the same. Therefore, this Court is of the view that by applying Kasi and Sethu case, the Assessing Officer has to make adjustment towards the liability of the entry tax at the rate out of the amount already paid by the petitioner towards VAT. When such adjustment has to be made only after making correlation exercise, since the vehicles involved in this case is numbering 141, needless to say that the petitioner has to pl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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