TaxTMI 
TaxTMI 
1991 (12) TMI 263
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.... firm carrying on its business under the name and style "Messrs Indra Kumar Ghosh & Brothers" at N.S.B. Road, Ranigunge, District Burdwan, West Bengal. 2.. The case of the applicants is that they are manufacturers and sellers of timber and are registered as dealer under the Bengal Finance (Sales Tax) Act, 1941. The firm obtained provisional registration as a small-scale industry with the Directorate of Cottage and Small-scale Industries, Government of West Bengal, on 11th June, 1977, and the said provisional registration was renewed from time to time till it was permanently registered on 28th December, 1980. The firm started its business of manufacturing and selling of sized timber log on and from 12th February, 1979, in its factory at R....
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....12th February, 1979 to 7th September, 1981, as during the said period the firm had collected sales tax. According to Mr. A.K. Roy Chowdhury, learned advocate for the applicants, the firm is entitled to get eligibility certificate with effect from 9th September, 1981, from which date no tax was collected and all other conditions specified in the relevant rule were fulfilled. He further contended that an eligibility certificate is issued for a particular period not exceeding 12 months and that each such period is considered separately; therefore, a dealer, who is not eligible for a certificate during a particular period, cannot be debarred from getting such eligibility certificate for a subsequent period during which the conditions for issue ....
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...., however, argued that the application was liable to be dismissed on the ground indicated at (b) above. He contended that after having realised taxes in violation of the rule for the period from 12th February, 1979 to 7th September, 1981, i.e., for about two and a half years, the dealer could not emerge as eligible for tax holiday for the subsequent period when no tax was realised. According to him, one cannot "become alternatively eligible or ineligible at his sweet will" and if such a view is accepted, "the conditions of the rule will then become meaningless". 6.. Let us now consider the relevant provisions of the rule to examine the rival contentions of the parties. Rule 3(66) of the Bengal Sales Tax Rules, 1941, provides for tax holi....
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.... the date from which the certificate is required to be granted which is relevant for computation of the period of limitation for filing an application for eligibility certificate. 8.. In the instant case, the dealer is eligible to get tax exemption for the period of 7 years from 12th February, 1979, provided the conditions laid down in the rule are fulfilled. Since during the period 12th February, 1979 to 7th September, 1981, tax was realised in violation of a vital condition, the dealer is not eligible to get tax holiday. But he can be eligible for the period from 9th September, 1981 to 11th February, 1986, provided during the said period the required conditions of the rule were fulfilled. As the certificate is required from 9th Septemb....