MANALI ROLLER FLOUR MILLS PVT.LTD. Vs. APPELLATE AUTHORITY-CUM-DEPUTY EXCISE AND TAXATION COMMISSIONER.

JUDGEMENT

(1.) THIS appeal relates to the assessment year 1998 -99. The petitioner - assessee is running a flour mill at Bajoura which came into commercial production in the year 1997. According to the assessee, he was totally exempt from payment of sales tax in view of the incentives granted by the State Government. The authorities below have decided this issue in favour of the assessee and, therefore, this question does not survive.

(2.) THE main question which arises for consideration is whether the assessee is entitled to get refund of the sales tax deposited by it. The appellate authority as well as the Tribunal has rejected this prayer of the assessee for refund of the sales tax deposited, mainly on the ground that the assessee had passed on this burden to the customers and, therefore, the refund of tax would amount to unjust enrichment of the assessee. It has been found by the authorities that the assessee in its invoices issued as far back in the year 2000 had been clearly staring that the sale price is inclusive of sales tax. It is contended on behalf of the assessee that in fact the dealer chose to bear the cost of the tax. If that had been correct then in the account books, reverse entry would have been made. The authorities below have come to the conclusion that no such reverse entry was made in the account books. Furthermore, the assessee has also issued GST forms to the wholesales/retail sale dealers to whom it sold the flour indicating therein that he had charged sales tax from them. The ultimate burden of the sales tax was borne by the customers.