TaxTMI 
TaxTMI 
2026 (4) TMI 1268
X X X X Extracts X X X X
X X X X Extracts X X X X
....all these revisions are common. They are taken together, heard and disposed of through this common order. 2. The common order passed by the Additional Sales Tax Appellate Tribunal, Additional Bench, Madurai, in MTSA Nos. 6, 7, 8, 9, 13, 14, 15 and 16 of 2016, dated 03.05.2024, has been assailed by the assessee in all these revision petitions filed under Section 60 of the "Tamil Nadu Value Added Tax Act" (hereinafter referred to as "the Act", for brevity), read with Rule 14(13) of the Rules. 3. The petitioner company is involved in the business of manufacture and export of latex surgical gloves and examination gloves. They used to purchase raw rubber from registered dealers as well as from unregistered sources. The further case of the ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....d second appeals before the Tribunal in MTSA Nos.6, 7, 8, 9, 13, 14, 15, 16 of 2016. The Tribunal, vide common order dated 03.05.2024, allowed all the second appeals and the order of the assessing authority was restored. Aggrieved by the same, all these revision petitions have filed by the assessee. 7. These revision petitions were originally filed as writ petitions and when the writ petitions came up for hearing on 09.08.2024, this Court directed the Registry to convert the writ petitions into tax cases. Accordingly, all the writ petitions were converted into tax cases and listed for hearing on 03.09.2024 and the following substantial questions of law were framed: (i) Whether the demand of purchase tax is sustainable when the P....
X X X X Extracts X X X X
X X X X Extracts X X X X
....er calculated the tax to be paid, the purchase tax under Section 12 would be tallied with the ITC and output tax payable, as the purchase tax amount was added on both sides automatically. In the light of this difficulty, there was no provision for payment of purchase tax in the month of return and the ITC column was un-editable. As a result, there was no provision for the petitioner to claim the purchase tax paid as ITC in the following months. 9. The further case of the petitioner is that this problem continued till May 2010 and it was rectified in June 2010. Thereafter, the tax payable under Section 12 of the Act will automatically appear in the tax payable side and it would not be added to the total ITC payable amount. Hence, the ITC ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....purchase tax is liable to be paid by the dealer and based on the same, the dealer is entitled to ITC, which can be adjusted towards the output tax on the sales turnover. In the case in hand, the petitioner has submitted returns and has paid tax on the entire sales turnover during the years 2007-2008, 2008-2009, 2009-2010 and 2010- 2011. The purchase tax had to be paid through online mode and till May 2010, serious problems were faced by the dealers since the online return in Form I was designed in such a manner that while the petitioner entered the amount of purchase turnover taxable under Section 12 of the Act, the tax would be calculated and it will be added to the eligible ITC by default. Simultaneously, in the tax payable side also, it ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ler or from any other person any goods, in circumstances, in which no tax is payable by that registered dealer on the sale price of such goods, shall pay tax on the turnover relating to the purchase at the rate specified in the schedule. Therefore, the petitioner, based on the rubber latex purchased from the local dealers, has to pay the purchase tax under Section 12 of the Act. Admittedly, this purchase tax has not been paid. 18. The appellate authority relied upon the judgment of the High Court in Deputy Commercial Tax Officer (DG-CTO), Kumbakonam and another, reported in VOL 131 STC 73, which was a case where tax was paid on the sale of goods and therefore it was held that payment of corresponding entry tax at the time of purchase is ....