SHALIMAR CHEMICAL WORKS LIMITED Vs. STATE OF ASSAM

JUDGEMENT

(1.) Heard Dr.A K Saraf, learned senior counsel assisted by Mr. D.Baruah, learned counsel for the petitioner. Also heard Mr. K N Choudhury, learned Additional Advocate General, Assam for the Respondents.

(2.) The petitioner, claiming itself as a duly registered company under the Companies Act, 1956, having its registered office in Kolkata and Branch Office at several places including Guwahati, says inter alia, that it manufactures edible grade coconut oil and it is holding valid licence under the provisions of Prevention of Food Adulteration Act ( in short, PFA Act). It says that its products meets all the requirements and standard of edible oil prescribed for BUREAU of Indian standard (hereinafter in short 'Bureau'). Further says that the coconut oil manufactured by the petitioner company has passed the test conducted by the National Test House, Kolkata. The petitioner agrees that, its product under the Trade name "Shalimar Coconut Oil" falls within the taxing schedule prescribed under Entry No.24(i) of 2 nd Schedule to the Assam Value Added Taxes Act, 2003 (hereinafter referred to as 'VAT Act' in short) without any ambiguity but the respondents No.2 and 3 have suo moto transponded the entry of coconut oil into 5 th Schedule by an order issued vide No.CST 48/2006/112 dated 11.10.2007 by the Commissioner of Taxes, Assam and notice No.12733 dated 16.11.2007 issued by the Respondent No.3, the Superintendent of Taxes, Guwahati, Unit-D. The aforesaid order dated 11.10.2007 (Annexure-VII) and notice dated 16.11.2007 (Annexure-VI) are under challenge in this writ petition.

(3.) The petitioner company as stated in the petition was registered as a dealer within the meaning of Assam General Sales Tax Act, 1993 that stood repealed by enactment and subsequent Notification of the VAT Act and the petitioner is a duly registered company under the provisions of VAT Act and it has been assessed by the respondent No.3. The petitioner company holds a licence under the Assam Trade Article (Licensing & Control) Order, 1982 (hereinafter referred to as "ATAO" in short). Over and above the petitioner company also holds a certificate under Form-4 issued by the Joint Director of Health Services, Guwahati for sale of "coconut oil" as a food grade edible article which is valid upto 31.3.2008.