EAGLE DISTILLERIES Vs. ASSISTANT COMMISSIONER (CT) LTU

JUDGEMENT

(1.) Heard Sri Bhaskar Reddy Vemireddy, the learned counsel for the petitioner and the learned Special Government Pleader for Commercial Taxes for the respondents-Revenue. All the writ petitions are by the same petitioner-M/s. Eagle Distilleries. The challenge in the writ petitions is to a notice dated December 28, 2009 issued by the first respondent calling upon the petitioner to pay Rs. 12,10,443 within the stipulated time towards balance penalty and interest liable in respect of the assessment years 2005-06, 2006-07 and 2007-08. This notice was issued by the first respondent in response to the letter of the petitioner dated December 11, 2009 seeking refund of the disputed tax, deposited while preferring appeals to the Appellate Deputy Commissioner and thereafter to the Sales Tax Appellate Tribunal. Having regard to the fundamental error in the impugned notice dated December 28, 2009 issued by the first respondent, we consider it appropriate to set out the relevant chronology of events, common in all the writ petitions. We record the facts in W.P. No. 7174 of 2010 as illustrative of the matrix of the facts involved in the other writ petitions as well.

(2.) W.P. No. 7174 of 2010:

(3.) Section 33 of the 2005 Act sets out provisions relating to appeals to the Tribunal. The first proviso to section 33 of the 2005 Act enjoins that no appeal shall be admitted unless it is accompanied by satisfactory proof of payment of fifty percent of the tax, penalty, interest or any other amount as ordered by the appellate authority. The fourth proviso to section 33 of the 2005 Act enjoins that the authority prescribed shall refund the amount of twelve and half percent or twenty five percent or fifty percent (as the case may be) of the difference of the tax, penalty, interest or any other amount as assessed by the authority prescribed or revisional authority as the case may be and the tax, penalty, interest or any other amount admitted and paid by the appellant, with interest calculated at the rate of 12 percent per annum if refund is not made within 90 days from the date of receipt of the order passed under section 31 or section 33 of the 2005 Act.