GINGEE AGRICULTURE PRODUCERS Vs. COMMERCIAL TAX OFFICER

JUDGEMENT

(1.) We have heard Mrs.R.Hemalatha, learned counsel for the appellant and Mr.Mohammed Shaffiq, learned Special Government Pleader appearing on behalf of the respondent.

(2.) This appeal filed by the appellant is directed against the order passed by this Court in W.P.No.22798 of 2015 dated 13.10.2020. The order impugned in the said writ petition was an assessment order dated 09.10.2014 relevant to the assessment year 2012-13 under the provisions of the Tamil Nadu Value Added Tax Act, 2006 (hereinafter referred to as 'TNVAT Act').

(3.) The assessment for the relevant year was completed by the Assessing Officer vide order dated 16.05.2013. After nearly one year, the Assessing Officer issued notice dated 30.04.2014 under Section 84 of the TNVAT Act stating that the claim for exemption made by the appellantSociety in respect of tea dust, soap and hand made matches, supplied to the Public Distribution System, is a wrong claim. The appellant sent a reply dated 20.05.2014 stating that the goods which have been supplied for public distribution are exempted from tax in terms of various Government orders and particularly referred to the proceedings of the Government dated 05.03.2007. The Assessing Officer, after referring to the reply given by the assessee to the notice issued under Section 84 of the Act, rejected the same stating that the liability to pay tax on the aforesaid three commodities under the TNVAT Act is a statutory liability under every point of sale and the Government letter which has been brought to the notice of the officer by the appellant is not relevant and does not mention about the exemption of the three commodities. Accordingly, the Assessing Officer proceeded to redetermine the total turn over at 150% arbitrarily.