2018 (2) TMI 1481

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.... under Section 27 of the Tamil Nadu Value Added Tax Act 2006 (in short "TNVAT") in determining the total and taxable turnover to the tune of Rs. 58,37,819/- and the claim of tax along with the penalty to the tune of Rs. 7,50,796/- by filing writ petition in W.P.(MD)No.7565 of 2011. 3. A Single Bench of this Court, vide the impugned order, dated 08.07.2011, has dismissed the writ petition, on the ground of availability of alternative remedy in the form appeal and challenging the legality of the said order, the present Writ Appeal is filed. 4. The learned Counsel appearing for the appellant/writ petitioner would contend that admittedly the petitioner has remitted the tax in Form-I on 22.04.2008 and sub-section 4 of Section 3 of TNVAT ca....

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....ases made from the beginning of the year, but the time barred sales tax credit to stock held as on 31.12.2006 cannot be claimed. 7. It is also the submission of the learned Counsel appearing for the appellant/writ petitioner that the said clarification has also been taken cognizance by a Single Bench of this Court, while disposing the writ petitions in W.P.Nos.6255 and 6256 of 2010, vide a common order, dated 22.04.2010, wherein it is held that the above said circular is binding on the assessing Authority and therefore, the assessment has to be reviewed in accordance with law as well as the clarification. In sum and substance, it is the submission of the learned Counsel appearing for the appellant/writ petitioner that in the light of the....

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....the petitioner has submitted a letter along with Form - I on 22.04.2008, which is prior to the substitution of Section 34 of TNVAT Act under Tamil Nadu Act 49 of 2008 with effect from 18.06.2008. 11. Admittedly and no doubt, after the said substitution, the petitioner did not inform the said fact within 7 days as contemplated under Section 3(4) of the TNVAT Act. In a case of similar in nature, a clarification in VAT Cell/41922/2007 (VCC No.1161), dated 29.08.2007 has been issued with regard to the compounding scheme in respect of one Mr.Nanjundamoorthy, Sundaram Complex, 19-F, Co-op. Colony, Mettupalayam, Coimbatore District and as per the said clarification, the said assessee is eligible for input tax credit for his purchases made from ....

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....Learned Counsel appearing for the petitioner pointed out to Section 3(4) of the Tamil Nadu Value Added Tax (second Amendment) Act, 2008, to substantiate his case as regards the availing of Input Tax credit in respect of turnover exceeding Rs. 50,00,000/- and the proviso introduced only under the Tamil Nadu Act, 49 of 2008, that the said proviso has no application to the present case. Hence, the petitioner is entitled to have the benefit of Input Tax Credit, once the turnover exceeds Rs. 50,00,000/- limit. Going by the Commissioner's clarification, the benefit of Input Tax Credit has to be extended to the assessee like the petitioner, the moment the petitioner's turnover exceeded Rs. 50,00,000/ and that he would not eligible to be as....