ANAND CINE SERVICE Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) THESE twin appeals preferred by M/s. Anand Cine Service, Film Nagar, Hyderabad give rise for adjudication of this common point:

(2.) BEFORE embarking upon answering the point, we may briefly record the factual account leading to these appeals.

(3.) M /s. Anand Cine Service, Film Nagar, Jubilee Hills, Hyderabad (for short, 'the appellant', are service providers of cinema shooting equipment in Andhra Pradesh on behalf of M/s. Anand Cine Services, Chennai (for short, 'the Chennai firm'). Their assessments were finalized by the CTO, Jubilee Hills Circle (for short, 'the assessing authority') for the assessment years 1999 -2000 and 2000 -01 under APGST Act, '57 (for short, 'the Act') vide proceedings shown in Column 2 of the table supra. By the said orders, the appellant was exempted from the levy of tax resulting in zero levy. The assessing authority based his orders on the orders dated 27 -05 -2004 passed by the Appellate Deputy Commissioner (CT)., Panjagutta Division whereby the assessment made by the Assistant Commissioner (CT)., Int., Punjagutta Division dated 26 -03 -2004 against the assessment year 2000 -01 under the Act was set aside allowing the appeal. The Appellate Deputy Commissioner (CT)., Punjagutta Division (for short, 'the appellate authority') allowed the appeal holding that the effective control of the equipment leased lies with Chennai firm. However, Additional Commissioner of Commercial Taxes, Legal, Office of the Commissioner of Commercial Taxes, Hyderabad (for short, 'the revisional authority') by show cause notice dated 03 -11 -2006 proposed to revise the order of appellate authority in respect of the assessment year 2000 -01 (APGST Act). Similarly, by show cause notice dated 05 -07 -2007, the revisional authority proposed to revise the assessment order. The revisional authority concluded the revisional orders fixing the tax liability as reflected in Column 4 of the above table. The revision was exercised under Section 20(2) of the Act.