2020 (2) TMI 1057

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....sent petition is as to whether petitioner is entitled to receive the amount unauthorisedly deducted as tax, in the currency agreed upon by the parties or not. [2] In the present petition, petitioner lays challenge to the Memorandum dated 16th June, 2017 issued by the Joint Secretary to the Government of Tripura, Finance Department according administrative approval for a refund of Rs. 1,08,61,531/- (Rupees One crore eight lakhs sixty one thousand five hundred thirty one) only in favour of the petitioner. Such amount is towards deduction of tax deducted under the provisions of the Tripura Value Added Tax, Act, 2004 (for short, TVAT Act) directed to be refunded, for having deducted without any authority of law. [3] That petitioner is ent....

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....e TVAT Act and deposited it with the statutory authority (State). [7] Contending that transactions entered into by the petitioner are not exigible to tax under the TVAT Act, petitioner company laid challenge to the same by way of CRP No.15 of 2015 titled as M/s. Newsco International Energy Services Inc. versus State of Tripura & others. Vide judgment dated 29th February, 2016, while upholding the petitioner‟s contention this Court allowed the petition, quashing the action of the authorities, directing refund of the amount deducted and received by the State along with statutory interest. The operative portion of the judgment reads as under : "In view of the above discussion, we are clearly of the view that in the present ca....

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....Services Inc. Gurgaon, Haryana, in connection with civil appeal No.1454 of 2017 arising out SLP (C) 27299/2016 against the judgment and order of the Hon'ble High Court of Tripura dated 29-02-2015. The expenditure involved is debitable under the Head of Account 2040-00- 101-05-10-50 (Refund) under Demand No.45 (Non-Plan) during the year 2017- 18. This is issued as per approval of the Principal Secretary to the Government of Tripura, Finance Department vide U.O. No.1979/Pri.Secy/Finance, dated 19- 05-2017. Sd/- (Dr. B. Kaur, IAS) Joint Secretary to the Government of Tripura, Finance Department." [10] Significantly, in the instant petition, State has not filed any reply and the only meaningful stand taken by ONGC, of wh....

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....dian currency i.e. Rupees and not US Dollars. [15] We find the question of law posed in the present petition, to be no longer res integra. In Forasol versus Oil and Natural Gas Commission, 1984 (Supp) SCC 263 (2 Judge Bench) the Apex Court, under similar circumstances, directed the very same respondent i.e. ONGC to refund the amount in terms of currency agreed upon by the parties by making the following observations : " 16. From the nature of things, the foreign party would not desire payment for the services to be rendered and the equipment to be supplied by it in a currency with which it had no connection and of the continuous stability of which it could not be certain. The foreign party would, therefore, naturally desire ad b....

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....ut structural drilling in relation to the exploration of oil in the Jaisalmer area. The contract mandated a part payment in the foreign currency i.e., French francs. Due to belligerent situation prevalent between India and Pakistan in 1965, the contract was suspended. In the meanwhile the Indian currency was devalued resulting in Forasol claiming higher conversion rate. As the dispute was not settled, the matter was referred to an arbitration. For the present, it is sufficient to note that by the award of the arbitrator/Umpire mandated conversion at the rate of FF 1000 equal to 1517.80 instead of exchange rate of FF 1.033 equal to Re. 1.000. The aforesaid award was filed before the Delhi High Court, which accordingly passed the dec....