S NAVEEN JEWELLERS, SONKIYA BHAWAN, CHOURA RASTA, JAIPUR Vs. COMMERCIAL TAXES OFFICER, CIRCLE H, JAIPUR (RAJASTHAN)

JUDGEMENT

(1.) Instant petition is directed against the order dt.02.02.2012 passed by the Rajasthan Tax Board, Ajmer (in short the 'Tax Baord'). It relates to the assessement year 2004-05. Heard finally.

(2.) The brief facts noticed are that the assessee is a 100% exporter of Precious and Semi-Precious Stone. There is a Composition Scheme under the Sales Tax Laws which was availed by the assessee from the year 1999 initially for a period of 5 years and the assessee thereafter also applied for renewal under the Composition Scheme and lateron it was claimed by the assessee before the Authorities below that the assessee is a 100% exporter of Precious and Semi-Precious Stone and on exports, there is no tax leviable rather the same is exempt under the provisions of the State Laws as well as the Central Sales Tax by virtue of Article 286 of the Constitution of India which restricts imposition of tax in case the goods are sold or exported out of territorial jurisdiction of India and accordingly the prayer was made that the assessee being 100% exporter of Precious and Semi-Precious Stone with no local sale, the amount is not leviable at the rate which was considered by the Assessing Officer to be imposed. It was also claimed that the amount leviable is continuously being deposited by the assessee on being opted under the Composition Scheme. However, the Assessing Officer did not agree with the said contention and charged Rs.18,000/- which was the maximum amount under the Composition Scheme vide its order dt.19.10.2004 and also charged interest which the assessee did not deposit.

(3.) The matter was assailed before the Dy. Commissioner (A) before whom as well the same contention was reiterated as it was raised before the Assessing Officer and contended that there is no occasion of charging Composition fees or tax, but the Dy. Commissioner (A) was not satisfied with the reasoning tendered by the assessee and observed that the assessee himself opted for renewal of the scheme, and if the assessee was not interested, he need not apply for renewal and accordingly rejected the appeal.