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Judgment
Rajes Kumar, J.—These are two revisions against the order of the Tribunal dated January 2, 2004 for the assessment year 2000-01 both under the U.P. Trade Tax Act 1948 as well as under the Central Sales Tax Act, 1956. The applicant established a unit for the manufacturing of rims and steel wheels. It appears that the unit has undergone expansion under the expansion scheme u/s 4A of the U.P. Trade Tax Act 1948 (hereinafter referred to as, "the Act"). Under the expansion scheme, the applicant has moved an application for exemption. The said application has been allowed and an eligibility certificate has been issued on September 28, 2001 granting exemption for the period November 9, 1998 to November 8, 2006 on a capital investment of Rs. 16,27,141. However, the effective exemption has been granted from the date of application, namely, March 25, 2000. It appears that the applicant has realized the tax from its customers during the period July 6, 2000 to November 8, 2000 both under the U.P. Trade Tax Act as well as under the Central Sales Tax Act and deposited the same with the Department. During the course of the assessment proceeding for the period July 6, 2000 to November 8, 2000, the applicant has claimed 100 per cent exemption on the turnover as per the notification. The assessing authority has allowed 100 per cent exemption from tax on the turnover during the aforesaid period. There is no dispute in this regard. During the course of assessment proceeding, the applicant claimed the refund of the excess deposit of tax at Rs. 1,30,651 under the Act and a sum of Rs. 5,314 under the Central Sales Tax Act. The refund has been refused u/s 29A of the Act.
Being aggrieved by the order, the applicant filed two appeals before the Joint Commissioner (Appeal), Trade Tax, Ghaziabad. Both the appeals have been dismissed vide order dated July 30, 2003. The applicant further filed two appeals before the Tribunal, which have been dismissed by the impugned order.
Heard Sri N.C. Gupta, learned counsel for the applicant and Sri B.K. Pandey, learned standing counsel.
The learned counsel for the applicant submitted that excess amount deposited is liable to be refunded u/s 29 of the Act. He further submitted that the amount of tax which has been paid should be deducted from the monetary limit and the benefit of the same should be allowed in the subsequent years.
Sri B.K. Pandey, learned standing counsel submitted that since the applicant has realized the tax from the customers and deposited the same, the applicant is not entitled for the refund u/s 29A of the Act. u/s 29A(3) of the Act, the refund can only be granted to the parties from whom the tax has been realized in accordance with rules 106 to 110 of the U.P. Trade Tax Rules. He further submitted that during the assessment proceeding the assessee himself claimed 100 per cent exemption on the turnover for the period July 6, 2000 to November 8, 2000, which has been allowed. Therefore, there is no question of giving adjustment of the tax realized with the monetary limit.
I have considered the rival submissions and the impugned orders passed by the authorities below.
Since the applicant has realized the tax and deposited the same, the applicant is not entitled for the refund u/s 29 of the Act. The amount can only be refunded u/s 29A(3) of the Act. So far as the adjustment of the amount of tax deposited with the monetary limit is concerned, the claim of the applicant cannot be accepted. In the assessment order the applicant itself claimed 100 per cent exemption on the turnover for the period July 6, 2000 to November 8, 2000 both under the U.P. Trade Tax Act as well as under the Central Sales Tax Act and the same have been allowed by the assessing authority in accordance with notification. There is no provision under the Act to give adjustment of the excess tax paid with the monetary limit. In the absence of any specific provisions in this regard, the claim cannot be accepted. In the result, both the revisions fail and are dismissed.