UMA BRICKS INDUSTRIES Vs. UNION OF INDIA

JUDGEMENT

(1.) As a common question of law wades through the writ petitions being W.P.(C) No.448 of 2014 [M/S. Uma Bricks Industries vs. The Union of India and Ors.] and W.P.(C) No.284 of 2014 [M/S. Parbati Bricks Industry and Construction vs. Union of India and Ors.] in the resembling conspectus of facts, we propose to dispose these writ petitions by a common judgment.

(2.) The petitioners have challenged the notice dtd. 9/6/2014 [Annexure-P/3 collectively] in W.P.(C) No.448 of 2014 and the order dtd. 28/3/2014 [Annexure-P/3 collectively] in W.P.(C) No.284 of 2014. Further the petitioners have urged for prohibiting the respondents from acting on the said notice and the order as according to the petitioners the claim of the revenue is unsustainable in law.

(3.) Brief facts which are considered essential to appreciate the challenge may be introduced at the outset. The petitioners are the registered dealers under the Central Sale Tax Act, 1956, in short CST Act and under Tripura Value Added Tax Act, 2004, in short TVAT Act. The petitioners are engaged in the business of manufacturing and sale of bricks. In order to facilitate mechanisation within the manufacturing process of the bricks in his brickfield the petitioner in the W.P.(C) No.284 of 2014 purchased a JCB machine (Excavator) from M/S. JCB India Limited, Ballabgarh, Haryana. The petitioner purchased the said machine on payment of the price i.e. Rs.18,50,000.00 and issued 'C' form to M/S. JCB India Limited. The said purchase is the subject matter of W.P.(C) 284 of 2014. The Superintendent of Taxes, Belonia issued a notice on 3/3/2014 seeking explanation from the petitioner as to why a penalty @ 150% on the leviable tax on the value of the JCB machine shall not be imposed under Sec. 10A of the CST Act. Having received the said notice, the said petitioner submitted the reply to the respondent No.4, the Superintendent of Taxes, Belonia on 6/3/2014. It would be apparent from the said reply that the said machine was purchased for excavating the earth, loading earth in the truck vehicle, loading earth in the moulding machine and loading the moulding earth in the truck vehicle to lift the moulded earth in the place of preparation of green bricks by the labourer and for loading bats and bricks in the truck vehicle as well as for supplying the produced goods to destination of sale.