AGARWAL SALT COMPANY Vs. ADDITIONAL COMMISSIONER

JUDGEMENT

(1.) The learned Counsel Mr. Vinit Mathur accepted notices on behalf of the respondents. With the consent of the learned Counsel for the parties, the writ petition is being finally heard and disposed of.

(2.) The petitioner, an industrial unit, was granted the benefit of exemption from payment of tax on the sales made within the State and in course of inter-State trade or commerce of the goods manufactured by it within the State, under the Sales Tax Incentive Scheme, 1987 (in short, "the Incentive Scheme, 1987" hereinafter) notified by the State Government vide notification dated May 23, 1987 in exercise of powers conferred under Section 4(2) of the Rajasthan Sales Tax Act, 1954 and Section 8(5) of the Central Sales Tax Act, 1956.

(3.) As per Clause 4(e)(i) of the Incentive Scheme, 1987 the benefit of exemption extended to the petitioner-industrial unit was subject to the condition that after having availed the benefit of exemption, it shall continue its production at least for next five years, not below the level of average production of the preceding five years. Admittedly, the petitioner-industrial unit could not maintain the average production in terms of Clause 4(e)(i) of the Incentive Scheme, 1987.