M/S INDIA FOOD EXPORTS Vs. ASST. COMMISSIONER

JUDGEMENT

(1.) ISSUES raised in these writ petitions are common. Therefore, these cases were heard together and are disposed of by this common judgment, treating W.P.(C). 14261/09 as the leading case.

(2.) PETITIONER in W.P.(C).14261/09 is engaged in processing of raw cashew nuts. There was huge demand against the petitioner for higher rate of tax pertaining to the year 2002-03, which was raised on the basis that F Forms submitted by them were bogus. It appears that based on the representations made by the Trade Unions and others, in the budget speech for 2007-08, an Amnesty Scheme was announced, the relevant portion of which reads as under:-

(3.) THE contention raised by the petitioner is that in order to give effect to the budget proposal, when Ext.P1 Government Order was issued, anything in excess of 4% tax, such as penalty and interest, was offered to be waived. Therefore, once they remitted 4% tax payable under Ext.P1, their liability stands discharged. It is stated that in such circumstances, the claim that interest is payable in addition to 4% tax is unsustainable.