JAGANNATH TRADE Vs. STATE OF TRIPURA

JUDGEMENT

(1.) THE short but interesting question which arises in this appeal is as to what is the procedure to be followed for recovery of dues payable under the Tripura Sales Tax Act, 1976 after the repeal thereof and the enforcement of the Tripura Value Added Tax Act, 2004 (in short, "the TVAT Act") especially in a case where the proceedings, for assessment are started after the TVAT Act came into force. In the State of Tripura, the Tripura Sales Tax Act 1976 and the Tripura Additional Sales Tax Act, 1990 were previously in force. Sales tax and additional sales tax was levied as per these Acts. The dispute in this case relates to the assessment years 2002 -2003, 2003 -2004 and 2004 and 2005. In this case the notice to the dealer for the purpose of reassessment was issued on May 23, 2005.

(2.) THE Tripura Value Added Tax Act 2004 was passed by the Tripura State Legislature enforced with effect from April 27, 2005 as per notification of the said date issued in the Tripura Gazette. The Tripura Value Added Tax Act repeals the provisions of the Tripura Sales Tax Act, 1976 and the Tripura Additional Sales Tax Act 1990. We are concerned with section 89 of the Act which reads as follows:

(3.) SUB -section (2) of section 89 can be divided into two parts. Clause (a) of sub -section (2) provides that if any action or proceeding has commenced and was initiated under the Tripura Sales Tax Act, 1976 and/or the Tripura Additional Sales Tax Act, 1990 prior to April 27, 2005 the same shall continue under the provisions of the old Act.