JOSE THOMAS Vs. STATE OF KERALA

JUDGEMENT

(1.) As both these O.T. Revisions are preferred by the same petitioner, albeit pertaining to different assessment years viz. 2008-09 and 2010-11 respectively, they are taken up together for consideration and disposed by this common order. The brief facts necessary for disposal of these O.T. Revisions are as follows:

(2.) The petitioner is a property developer who constructs residential apartments for sale to prospective customers. During the assessment years 2008-09 and 2010-11, the petitioner had opted for payment of tax at compounded rates under Sec. 8 of the Kerala Value Added Tax Act [hereinafter referred to as the "KVAT Act"]. While discharging his liability in accordance with the formula prescribed under the said Sec. , the petitioner deducted certain amounts from the gross contract value received by him from the customers and applied the rate of tax prescribed under Sec. 8 to the said reduced contract value. This was objected to by the Assessing Authority, who sought to levy the tax at the prescribed rates on the entire amount collected by the petitioner from his customers. The order of the Assessing Authority, although impugned by the petitioner before the First Appellate Authority and thereafter before the Tribunal, was upheld by both the Appellate authorities below save for minor modifications in favour of the petitioner. It is being aggrieved by the common order of the Appellate Tribunal for the assessment years 2008-09 and 2010-11 that the petitioner is now before us through these O.T. Revisions.

(3.) The questions of law raised in the O.T. Revisions are as follows: