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Judgment
Looking to the facts of the case and with the consent of the parties, this Revision Petition is heard finally and disposed of. The petitioner has filed this Review Petition for modification of the order dated 21/01/2013 passed in W.P. No. 2169/2010. This Court has issued following direction while disposing of the aforesaid writ petition:-
Consequently, petition of the petitioner is disposed of with the directions that the delivery of the agent of the petitioner to the buyer or to the authorized distributor shall not be taxed under the provisions of VAT Act by treating it as an independent sale. The taxation authorities shall calculate the tax liability of the petitioner accordingly. No order as to costs.
By the aforesaid direction, it is ordered that the transaction of agent of the petitioner would not be liable for payment of tax under the provisions of VAT Act treated it as an independent sale. But, it is not correct legal position as discussed earlier in the order, because the transaction of the agent on behalf of the petitioner i.e. delivery of the goods to the buyer or to the ultimate purchaser by the agent is liable to be taxed.
In this view of the matter, the direction issued by this Court quoted above vide order dated 21/03/2013 passed in W.P. No. 2169/2010 is hereby withdrawn and the following direction is hereby substituted:
In the event of delivery of goods to the buyer or to the ultimate purchaser by the agent of the petitioner shall be liable for payment of tax in accordance provision of Explanation (c) of Section 2(u) of the VAT Act, 2002. The taxation authorities shall calculate the tax liability of the petitioner accordingly.
With the aforesaid modification and substitution, the Review Petition is disposed of.