DEPUTY COMMISSIONER, COMMERCIAL TAX Vs. RAKESH RANJAN AGRAWAL

JUDGEMENT

(1.) THE petitioner Company is engaged in manufacture of sugar at three of its Units, namely, Mawana Sugar Works, Mawana; Nanglamal Sugar Complex, Nanglamal, district Meerut and Titawi Sugar Complex, Titawi, district Muzaffarnagar.

(2.) THE State of U.P. enacted 'The Uttar Pradesh Tax on Entry of Goods into Local Areas Act, 2007' (hereinafter referred to as the 'Act'), in order to provide for levy and collection of tax on entry of goods into a local area for consumption, use or sale therein and for matters connected therewith or incidental thereto.

(3.) THE petitioner is aggrieved by issuance of notices bearing No. 428 and 429 dated 4.9.2009 purportedly under section 12(5) of the Act. Notice no. 428 states that the petitioner has sold non levy sugar from its Mawana unit to the dealers of the local area and although non levy sugar attracts entry tax @ 2% but the same has not been deducted nor deposited as per the provisions of section 12 of the Act and, therefore, the Company should show cause why penalty of twice the amount be not imposed upon it. It is for the month of April,2009. The other notice no. 429 is for the month of May, 2009 and is on the similar lines. Apart from challenging these notices and proceeding in pursuance thereto, the petitioner has also challenged the vires of the Act.