2007 (3) TMI 777

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....on concessional rate of tax under Section 5C of the Rajasthan Sales Tax Act, 1954 and the Assessing Authority committed error of law by denying the set off of ₹ 15,537/- to the assessee and also committed error of law by imposing consequential liability of payment of interest of ₹ 8,390/-. The detail facts under what circumstances the assessee claimed the set off of ₹ 15,537/- are not mentioned in all the three orders, that are order passed by the Assessing Authority dated 3.7.1996, the order passed by the Deputy Commissioner (Appeals) dated 2.7.1997 as well as from the order passed by the Tax Board dated 19.6.2001, but the question of law raised by the revenue can be decided in this revision petition. The revenue's ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....d the contentions of the learned counsels for the parties and perused the reasons given in the orders impugned. The Incentive Scheme as Sales Tax Incentive Scheme for Industries, 1987 was issued by issuing Notification No.679 dated 23.5.1987. This scheme was framed by exercising powers conferred by Section 4(2) of the Rajasthan Sales Tax Act, 1954. As per clause 4 of the Scheme of 1987, an industrial unit is entitled to claim exemption from payment of tax on fulfilling the conditions of Scheme of 1987. The assessee is eligible to said tax exemption and this fact is not in dispute. Dispute is about the interpretation of sub-clause (c) of clause 4 and Explanation appended to it. Sub-clause (c) of clause 4 of Scheme of 1987 is as under:- &q....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....st its liability created under the Act of 1954 but exception to it is provided under the explanation which clearly provides that the benefit for which such assessee is entitled to under Sections 5C and 5CC of the RST Act 1954 on sale or purchase of the goods on concessional rate of tax, then that benefit will continue. Clause 4(c) and its Explanation as well as Section 5C abd 5CC of the Act of 1954 are absolutely clear and that there is no ambiguity. The ambiguity is because of the reason that the facts are not mentioned in the order by the Assessing Authority or by the Deputy Commissioner (Appeals) or by the Tax Board with respect to the claim of the assessee. It is not clear whether the assessee is claiming set off of the amount which h....