Karnataka High Court
M/S. Hotel Junior Kuppanna vs The State Of Karnataka on 7 November, 2017
Author: Vineet Kothari
Bench: Vineet Kothari
1/57
IN THE HIGH COURT OF KARNATAKA, BENGALURU
DATED THIS THE 7TH DAY OF NOVEMBER, 2017
BEFORE
THE HON'BLE Dr.JUSTICE VINEET KOTHARI
WRIT PETITION Nos.42655/2017 & 42833-
834/2017 C/W W.P.Nos.58722/2013 & 397-
451/2014, W.P.No.1090/2014, W.P.Nos.1266-
1320/2014,W.P.Nos.2405-2516/2014,
W.P.Nos.5916/2014 & 6168-6174/2014,
W.P.Nos.6850/2014 & 7920-7930/2014 &
7931/2017, W.P.Nos.7088/2014 & 8050-8060/2014
& 8061/2014, W.P.Nos.10049-050/2014,
W.P.Nos.13035/2014 & 13650-651/2014 & 13940-
963/2014, W.P.No.16289/2014,
W.P.Nos.16626/2014 & 16965-975/2014,
W.P.Nos.17634-643/2014, W.P.No.17718/2014,
W.P.Nos.19319-326/2014, W.P.No.25582/2014,
W.P.Nos.26899/2014 & 32096-130/2014,
W.P.Nos.30029-035/2014, W.P.Nos.31738-
739/2014 & 33980-34001/2014, W.P.Nos.31740-
745/2014 & 34147-209/2014, W.P.Nos.38017-
052/2014, W.P.Nos.5906-5908/2015 & 7718-
7750/2015, W.P.Nos.12542/2015 & 16533-
543/2015, W.P.Nos.18898/2015 & 19160-
182/2015, W.P.Nos.37760-783/2015,
W.P.Nos.44980-982/2015 & 47664-698/2015,
W.P.Nos.56693-704/2015, W.P.Nos.56705-
56716/2015, W.P.Nos.3609/2016 & 6182-
6192/2016,W.P.Nos.5534-5557/2016,
W.P.Nos.9981/2016 & 11794-816/2016,
W.P.Nos.16143/2016 & 16233-243/2016, AND
W.P.Nos.43774-777/2014 & 1844-1909/2015 (T-
RES)
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
2/57
W.P.Nos.42655/2017 & 42833-42834/2017
Between:
M/s. Hotel Junior Kuppanna
Represented by its Partner
Sri. A. Rajamanickam
Aged about 59 years
No.34, 5th Cross, 5th Block
Koramangala, Bengaluru-560095.
...Petitioner
(By Mr. M.N. Shankare Gowda, Advocate)
And:
1. The State of Karnataka
By its Principal Secretary
Finance Department
Vidhana Soudha, Bengaluru-560001.
2. The Commissioner of Commercial Taxes
Vanijya Therige Karyalaya
1st Main, Gandhinagar
Bengaluru-560 009.
3. The Assistant Commissioner of
Commercial Taxes, LVO-015
(Additional) VTK-2
Koramangala, Bengaluru-560 047.
4. The Assistant Commissioner of
Commercial Taxes (Audit)-4.7
DVO-4, 5th Floor, "A" Block
VTK-2, Near NGV, Koramangala
Bengaluru-5600047.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
3/57
These Writ Petitions are filed under Article 226 of the
Constitution of India, praying to issue a Writ of Certiorari or
a direction in the nature of a Writ of Certiorari quashing the
order No.ACCT-15(A)/T./2015-16, dated 30-06-2015 issued
by the third Respondent under Section 15 of the Act read
with Rule 144 of the Rules (Annexure-"F") & etc.,
W.P.Nos.58722/2013 & 397-451/2014
Between:
Hardcastle Restaurants Private Limited
Having registered office at 1001-1002
Tower 3, 10th Floor
Indiabulls Finance Centre
Senapati Bapat Marg
Elphinstone Road, Mumbai-400013.
And Branch at:
No.10, AKS Plaza
Above McDonald's Restaurant
2nd Floor, Koramangala Industrial Layout
Bangalore-560095
Represented by its
Authorized Representative
Mr. Yoganand Mukkamala
Deputy General Manager-Real Estate.
...Petitioner
(By Mrs. Gayathri Balu, Advocate)
And:
1. State of Karnataka
Finance Department
Vidhana Soudha, Bengaluru-560001
By its Principal Secretary.
2. The Commissioner of Commercial Taxes
in Karnataka, Vanijya Therige Karyalaya
Gandhinagar, Bangalore-560 009.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
4/57
3. The Deputy Commissioner of Commercial Taxes
Enforcement-3, South Zone
Vanijya Therige Karyalaya-2
Rajendra Nagar, Bangalore-560047.
4. Local VAT Officer
LVO-20, Vishveshwarya Tower
Opp. Coffee Board
Ambedkar Veedhi, Bangalore-560001.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act, 2003 and rules framed thereunder does not include
'capital assets' & etc.,
W.P.No.1090/2014
Between:
M/s. Akshaya Stone Crushers
Sree Daivakrupa Complex
1st Main Road, Mandipet
Tumkur-3
Reptd. by its Partner
Sri. H.V. Govindaraja Shetty
Aged about 56 years
...Petitioner
(By Mr. K.M. Shivayogiswamy, Advocate)
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
5/57
And:
1. State of Karnataka
Represented by its Principal Secretary
to Government, Department of Finance
Vidhana Soudha, Bengaluru-560001.
2. The Commissioner of Commercial Taxes
in Karnataka, Vanijya Therige Karyalaya
Gandhinagar, Bengaluru-560 009.
3. The Assistant Commissioner of
Central Taxes, LVO-170, 2nd Floor
Jai Bharath Towers
Vivekananda Road, Tumkur-572101.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
This Writ Petition is filed under Article 226 of the
Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed thereunder does not include
'capital assets' & etc.,
W.P.Nos.1266-1320/2014
Between:
Hardcastle Restaurants Private Limited
Having registered office at 1001-1002
Tower 3, 10th Floor
Indiabulls Finance Centre
Senapati Bapat Marg
Elphinstone Road, Mumbai-400013.
And Branch at:
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
6/57
No.10, AKS Plaza
Above McDonald's Restaurant
2nd Floor, Koramangala Industrial Layout
Bangalore-560095
Represented by its
Authorized Representative
Mr. Yoganand Mukkamala
Deputy General Manager-Real Estate.
...Petitioner
(By Mrs. Gayathri Balu, Advocate)
And:
1. State of Karnataka
Finance Department
Vidhana Soudha, Bangalore-560001
By its Principal Secretary.
2. The Commissioner of Commercial Taxes
in Karnataka, Vanijya Therige Karyalaya
Gandhinagar, Bangalore-560 009.
3. The Deputy Commissioner of Commercial Taxes
(Audit-1.3), VAT Division-I, 5th Floor
TTMC, BMTC Building
Yeshwanthapur, Bangalore-560022.
And Also at:
(Audit-1.7), DVO-I, Room No.514, 5th Floor
VTK Building, Gandhinagara
Bangalore-560009.
And Also at:
(Audit-1.2), DVO-I, Bangalore.
4. Asst. Commissioner of Commercial Taxes
LVO-20, Vishveshwaraya Tower
Opp Coffee Board, Ambedkar Veedhi
Bangalore-560001.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
7/57
5. Local VAT Officer
LVO-20, Vishveshwarya Tower
Opp. Coffee Board
Ambedkar Veedhi, Bangalore-560001.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act, 2003 and rules framed thereunder does not include
'capital assets' & etc.,
W.P.Nos.2405-2516/2014
Between:
Golden Kitchens Private Limited
Having registered office at
'Casafina' No.5, Primrose Road
Bangalore-560025
Represented by its
Authorized representative
Mr. K. Sathyanarayana.
...Petitioner
(By Mrs. Gayathri Balu, Advocate)
And:
1. State of Karnataka
Finance Department
Vidhana Soudha, Bangalore-560001
By its Principal Secretary.
2. The Commissioner of Commercial Taxes
in Karnataka, Vanijya Therige Karyalaya
Gandhinagar, Bangalore-560 009.
3. The Deputy Commissioner of Commercial Taxes
Enforcement-3, South Zone
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
8/57
Vanijya Therige Karyalaya-2
Rajendra Nagar, Koramangalal
Bangalore-560047.
5. The Deputy Commissioner of Commercial Taxes
(Audit)-1.2, DVO-1, 5th Floor, BMTC
TTMC Building, Yeshwanthpura
Bangalore-560022.
6. Commercial Tax Officer
(Audit-1.1), DVO-1, Room No.46
3rd Floor, BMTC, TTMC Building
Yeshwanthapura, Bangalore-560022.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act, 2003 and rules framed thereunder does not include
'capital assets' & etc.,
W.P.Nos.5916/2014 & 6168-6174/2014
Between:
M/s. Dodsal Enterprises Private Limited
No.185, Brigade Road, Richmond Town
Bangalore-560001.
...Petitioner
(By Mr. Atul K. Alur, Advocate)
And:
1. State of Karnataka
By its Secretary
Department of Finance
Government of Karnataka
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
9/57
Vidhana Soudha, Ambedkar Veedi
Bangalore-560001.
2. The Assistant Commissioner of
Commercial Taxes (LVO-020)
V.V. Building, 3rd Floor
Ambedkar Veedi, Bangalore-560001.
3. The Deputy Commissioner of Commercial Taxes
(Audit)-1.2, VAT Division-1, 5th Floor, BMTC
TTMC Building, Yeshwanthpura
Bangalore-560022.
4. The Commissioner of Commercial Tax
Karnataka, Commercial Taxes Building-1
1st Floor, Gandhinagar, Bangalore-560009.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to issue writ of certiorari
quashing the letter/circular issued by the resp-4 dated
19/12/2013 at Annexure-K, under Section 59 of the KVAT
Act, in so far as the petitioner is concerned & etc.,
W.P.Nos.6850/2014 & 7920-7930 & 7931/2014
Between:
M/s. Manjunatha Stone Crystals
No.95/1, Bettahalasur Village
Jala Hobli, Bangalore North
Bangalore - 562 157
(Represented by its Proprietor
Sri S.N.Naveen).
...Petitioner
(By Mr. Atul K. Alur, Advocate)
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
10/57
And:
1. State of Karnataka
Represented by its Principal Secretary
To Government,
Department of Finance
Vidhana Soudha,
Bangalore-560001.
2. The Commissioner of
Commercial Taxes in Karnataka
Vanijya Therige Karyalaya
Gandhinagar,
Bangalore-560009.
3. The Commercial Tax Officer (Enforcement 34)
South Zone, VTK-2, "B" Block, 4th Floor
Near NGV, Vivek Nagar Post
Kormangala,
Bangalore-560047.
4. The Assistant Commissioner of Commercial Taxes
VAT Office - 150(Addl.)
BMTC 2nd Floor, Yeshwanthpur,
Bangalore-560037.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'Goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and Rules farmed there under does not include
'Capital Assets' and etc.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
11/57
W.P.Nos.7088/2014 & 8050-8060/2014 & 8061/2014
Between:
M/s. Manjunatha Stone Crushers
No.132, Sonnappanahalli Village
Bettahalasur Post & Village,
Rep. by Madhukumar
Bangalore North,
Bangalore - 562 157.
...Petitioner
(By Mr. Atul Krishna Rao, Advocate)
And:
1. State of Karnataka
Represented by its Principal Secretary
To Government,
Department of Finance
Vidhana Soudha,
Bangalore-560001.
2. The Commissioner of
Commercial Taxes in Karnataka
Vanijya Therige Karyalaya
Gandhinagar,
Bangalore-560009.
3. Office of the Addl. Commissioner of
Commercial Taxes (Enforcement)
Rep. by Commercial Tax Officer (Enf.26)
South Zone, VTK-2, 6th Floor, 80 Feet Road,
Near National Games Housing Complex,
Viveknagar Post
Kormangala,
Bangalore - 560 047
4. Office of the Assistant Commissioner of
Commercial Taxes
Rep. by Assistant Commissioner of
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
12/57
Commercial Tax Officer
Local VAT Office - 150(Addl.)
BMTC 2nd Floor, Yeshwanthpura,
Bangalore-560037.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'Goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and Rules farmed there under does not include
'Capital Assets' and etc.
W.P.Nos.10049-10050/2014
Between:
M/s. Vasudev Adigas Fast Food (P) Ltd.,
Represented by its Chief
Financial Officer,
Sri Biju Thomas
Aged about 42 years
Regd. Office No.36, 12th Main, 27th Cross,
Jayanagar 4th Cross,
Bangalore - 560 011.
...Petitioner
(By Mr. R.Venkatesh Prasad, Advocate)
And:
1. The Assistant Commissioner of Commercial Taxes
(L.V.O.-025), DVO-4, II Floor,
VAT - II, Koramangala,
Bangalore-560047.
2. The Assistant Commissioner of
Commercial Taxes (Enforcement) - 21
South Zone, VTK-II,
Koramangala
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
13/57
Bangalore - 560 047.
3. The Commissioner of
Commercial Taxes in Karnataka
Vanijya Therige Karyalay
Ist Main, Gandhinagar,
Bangalore-560009.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to quash the order
dt.12.2.14 passed by the R1 under Section 15 of the Act r/w
Rule 145 of the Rules for the assessment periods 2012-13
and 2013-14 vide Ann-G and etc.
W.P.Nos.13035/2014 & 13650-13651/2014
& 13940-13963/2014
Between:
M/s. Aishwarya Stone Crusher
No.62/2, Channappa Complex,
Anchepalya
Kengeri Hobli, Mysore Road
Bangalore - 560 074
Represented by its Partner
Sri K.Shivakumar
Aged about 37 years.
...Petitioner
(By Mr. Pavamana D.V., Advocate)
And:
1. State of Karnataka
Represented by its Principal Secretary
To Government,
Department of Finance
Vidhana Soudha,
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
14/57
Bangalore-560001.
2. The Commissioner of
Commercial Taxes,
Karnataka Vanijya Therige Karyalaya
Gandhinagar,
Bangalore-560009.
3. Additional Commissioner of
Commercial Taxes, South Zone,
Represented by Commercial Tax Officer (Enf.10)
VTK-2, VI Floor, 80 Feet Road,
Viveknagar Post
Koramangala,
Bangalore - 560 047
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the
word 'Goods' under Section 15 of the Karnataka Value Added
Tax Act 2003 and Rules farmed there under does not include
'Capital Assets' Goods and etc.
W.P.No.16289/2014
Between:
M/s. N.S. Jelly Crusher
Hosahalli, Madhugiri Road
Tumkur District
(Represented by its Partner
Sri N.S.Jayakumar
Aged 59 years).
...Petitioner
(By Mr. K. M. Shivayogiswamy, Advocate)
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
15/57
And:
1. State of Karnataka
Represented by its Principal Secretary
To Government,
Department of Finance
Vidhana Soudha,
Bangalore-560001.
2. The Commissioner of
Commercial Taxes in Karnataka
Vanijya Therige Karyalaya
Gandhinagar,
Bangalore-560009.
3. The Assistant Commissioner of
Central Taxes,
LVO-170, 2nd Floor
Jai Bharath Towers
Vivekananda Road
Timkur - 572 101.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
This Writ Petition is filed under Articles 226 & 227 of
the Constitution of India, praying to declare that the word
'Goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and Rules farmed there under does not include
'Capital Assets' and etc.
W.P.Nos.16626/2014 & 16965-975/2014
Between:
M/s. Ganapathi Stone Crusher Pvt. Ltd.,
A Company incorporated under the
Companies Act, 1956,
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
16/57
Lakshmin Palace,
Magadi Main Road, Sunkadakatte
Bangalore - 560 091
Represented by its Director
Sri S.T.Ramesh
S/o Sri Thammanna Gowda,
Aged about 37 years.
...Petitioner
(By Smt.Vani H., Advocate)
And:
1. State of Karnataka
Represented by its Principal Secretary
Department of Finance
Vidhana Soudha,
Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar,
Bangalore-560009.
3. Commercial Tax Officer
(Audit)-6.1, VAT Division-6,
14th Cross, KIADB Building
Peenya II Stage,
Bangalore - 560 058.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the
word 'Goods' under Section 15 of the Karnataka Value Added
Tax Act 2003 and Rules farmed there under does not include
'Capital Assets' purchased and used in the course of
business by the petitioner and etc.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
17/57
W.P.Nos.17634-17643/2014
Between:
M/s. Saint Joseph Earth Movers
Door No.8, Church Complex
Belman Post, Karkala Taluk-576111
Mangalore District
Represented by its Proprietor
Sri. Francis D'Souza
S/o Sri. Gregory D'Souza
Aged about 55 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Represented by its Principal Secretary
Vidhana Soudha, Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar, Bangalore-560009.
3. The Deputy Commissioner of
Commercial Taxes (Enforcement)
West Zone, Mangalore-1.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the
word 'goods' under Section 15 of the Karnataka Value Added
Tax Act 2003 and rules farmed there under does not include
'capital assets' purchased and used in the course of
business by the petitioner and etc.,
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
18/57
W.P.No.17718/2014
Between:
M/s. Gauranga Foods
Represented by its Partner
Sri. Pradeep Venugopal
Aged about 32 years
No.462, Ground Floor
Sri. Krishna Temple Road
Binnamangala 1st Stage
Bangalore-560038.
...Petitioner
(By Sri. M.N. Shankare Gowda, Advocate)
And:
1. The State of Karnataka
By its Principal Secretary
Finance Department
Vidhana Soudha, Bangalore-560001.
2. The Commissioner of Commercial Taxes in
Karnataka, Vanijya Therige Karyalaya
1st Main, Gandhinagar, Bangalore-560009.
3. The Assistant Commissioner of Commercial Taxes
Local VAT Office-045, No.174, 9th Cross
Rakshitha Complex, Indiranagar
Bangalore-560 038.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
This Writ Petition is filed under Article 226 of the
Constitution of India, praying to issue a Writ of Certiorari or
a direction in the nature of a Writ of Certiorari quashing the
notice dated 06-03-2014 issued by the third Respondent
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
19/57
under Section 15 of the Act read with Rule 144 of the Rules
(Annexure-"F") & etc.,
W.P.Nos.19319-19326/2014
Between:
M/s. Spring Leaf Retail (P) Ltd.,
Represented by its Director
Sri. Gaurav Jain
Aged about 40 years
Mast Kalandar, 1st Floor
Regent Court, No.17, ST Bed Extension
80 Feet Road, Koramangala IV Block
Bangalore-560 034.
...Petitioner
(By Sri. R. Venkatesh Prasad, Advocate)
And:
1. The Commercial Tax Officer
(Enforcement)-09, South Zone
VTK-II, Koramangala
Bangalore-560 047.
2. Commissioner of Commercial Taxes in
Karnataka, Vanijya Therige Karyalaya
1st Main, Gandhinagar, Bangalore-560009.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to issue a Writ of
Certiorari or a direction in the nature of a Writ of Certiorari
quashing the notice bearing No.CTO/ENF-9/INS-19/2013-
14 dated 04-04-2014 issued by the first Respondent under
Section 15 of the Act read with Rules 135 and 144 of the
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
20/57
Rules for the periods July, 2013 to February, 2014
(Annexure-"H") & etc.,
W.P.No.25582/2014
Between:
M/s. R.R. Stone Crusher
Kallahalli, Kesaramadu Post
Tumkur Taluk
(Represented by its Propx: Smt. S.R. Shanthala
Aged 52 years)
...Petitioner
(By Sri. K.M. Shivayogiswamy, Advocate)
And:
1. State of Karnataka
Represented by its Principal Secretary
to Government, Department of Finance
Vidhana Soudha, Bangalore-560001.
2. The Commissioner of Commercial Taxes in
Karnataka, Vanijya Therige Karyalaya
Gandhinagar, Bangalore-560009.
3. The Assistant Commissioner of Commercial Taxes
LVO-175, 2nd Floor, Jai Bharath Towers
Vivekananda Road, Tumkur-572101.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
This Writ Petition is filed under Articles 226 & 227 of
the Constitution of India, praying to declare that the word
'goods' under Section15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
'capital assets' & etc.,
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
21/57
W.P.Nos.26899/2014 & 32096-32130/2014
Between:
M/s. Sagar Veg Restaurant
450/13, Gopal Towers
Main Road, Karkala Taluk-574104
Mangalore District
Represented by its Manager
Sri. Abubakkar
S/o Sri. Moidinabba
Aged about 44 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Represented by its Principal Secretary
Vidhana Soudha, Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar, Bangalore-560009.
3. The Assistant Commissioner of
Commercial Taxes (Enforcement)
Vanijya Therige Bhavana
Vivekananda 4th Cross
Ajjarakadu, Udupi-576101.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
22/57
'capital assets' purchased and used in the course of the
business by the Petitioner & etc.,
W.P.Nos.30029-30035/2014
Between:
M/s. Professional Global
Constructions Pvt Ltd.,
Represented by its Managing Director
Sri. Chikkarevanna
Aged about 39 years
Regd. Off: No.2, 12th Cross
Dasarahalli Main Road
Hebbal Kempapura
Bangalore-560024.
...Petitioner
(By Sri. K.J. Kamath, Advocate)
And:
1. The Deputy Commissioner of Commercial Taxes
(Audit)-5.3, DVO-5, 5th Floor
Vanijya Terige Karyalaya-2
Near National Games Village
80 Feet Road, Rajendranagara
Koramangala, Bangalore-560047.
2. The Assistant Commissioner of Commercial Taxes
Local VAT Office-150 (Addl.)
BMTC 2nd Floor, Yeshwanthpura
Bangalore-560022.
3. The Commissioner of Commercial Taxes
in Karnataka, Vanijya Therige Karyalaya
1st Main, Gandhinagar, Bangalore-560009.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
23/57
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to issue a Writ of
Certiorari or a direction in the nature of a Writ of Certiorari
quashing the impugned order dated 31-05-2014 passed by
the First Respondent under Section 39(1) of the KVAT Act,
2003 read with Rule 37(2) of the KVAT Rules, 2005 for the
assessment periods September 2007 to March 2008
(Annexure-"A") & etc.,
W.P.Nos.31738-739/2014 & 33980-34001/2014
Between:
M/s. Unity Rock Industries
A Partnership Firm registered under
the Indian Partnership Act, 1932
Regd Office: Survey No.24-2P-1
Miyar, Nalkoor, Udupi Taluk
Udupi District-576 101
Represented by its Managing Partner
Francis George
Aged about 53 years.
...Petitioner
(By Sri. Jagadish Chandra Kamath K, Advocate)
And:
1. The Assistant Commissioner of
Commercial Taxes, (Enforcement)
Vivekananda 4th Cross Road
Ajjarakadu, Udupi-576101.
2. The Assistant Commissioner of Commercial Taxes
Local VAT Office-290, Kundapur-576201.
3. The Commissioner of Commercial Taxes
in Karnataka, Vanijya Therige Karyalaya
1st Main, Gandhinagar, Bangalore-560009.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
24/57
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to issue a Writ of
Certiorari or a direction in the nature of a Writ of Certiorari
quashing the impugned endorsement dated 02-06-2014
issued by the First Respondent for the assessment periods
April 2011 - March 2012 and April 2012 - March 2013
(Annexure-"A") & etc.,
W.P.Nos.31740-745/2014 & 34147-34209/2014
Between:
M/s. Unity Stone Industries
A Partnership Firm registered under
the Indian Partnership Act, 1932
Regd Office: No.131/1, Kolur Cross Road
Kundabarandadi, Kundapura Taluk
Udupi District-576 101
Represented by its Managing Partner
Francis George
Aged about 53 years.
...Petitioner
(By Sri. Jagadish Chandra Kamath K, Advocate)
And:
1. The Assistant Commissioner of
Commercial Taxes, (Enforcement)
Vivekananda 4th Cross Road
Ajjarakadu, Udupi-576101.
2. The Assistant Commissioner of Commercial Taxes
Local VAT Office-290,
Kundapur-576201.
3. The Commissioner of Commercial Taxes
in Karnataka,
Vanijya Therige Karyalaya
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
25/57
1st Main, Gandhinagar,
Bangalore-560009.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to issue a Writ of
Certiorari or a direction in the nature of a Writ of Certiorari
quashing the impugned endorsement dated 29-05-2014
issued by the First Respondent for the assessment periods
April 2007 - March 2008 to April 2012 - March 2013
(Annexure-"A") & etc.,
W.P.Nos.38017-38052/2014
Between:
M/s. Padma Enterprises
Door No.13-415/A
Jodumarga, B.C. Road
Bantwal Taluq, Mooda-574219
Represented by its Proprietor
Sri. Alva Aithapa
S/o Sri. Kochanna Alva
Aged about 57 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Represented by its Principal Secretary
Vidhana Soudha, Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar, Bangalore-560009.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
26/57
3. Assistant Commissioner of
Commercial Taxes (Enforcement)-2
West Zone, Maidan Road
Mangalore-575001.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
'capital assets' purchased and used in the course of the
business by the petitioner & etc.,
W.P.Nos.5906-5908/2015 & 7718-7750/2015
Between:
M/s. Aishwarya Stone Crusher
No.62/2, Channappa Complex
Anchepalya, Kengeri Hobli
Mysore Road, Bangalore-560074
Represented by its Partner
Sri. K. Shivakumar.
...Petitioner
(By Sri. Pavamana D.V. Advocate)
And:
1. State of Karnataka
Represented by its Principal Secretary
to Government, Department of Finance
Vidhana Soudha, Bangalore-560001.
2. The Commissioner of Commercial Taxes
Karnataka, Vanijya Therige Karyalaya
Gandhinagar, Bangalore-560009.
3. Joint Commissioner
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
27/57
of Commercial Taxes, DVO-02
Represented by Commercial Tax Officer
(Audit)-2.4, V.T.K. II V Floor
80 Feet Road, Viveknagar Post
Koramangala, Bangalore-560047.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
"Capital Assets" Goods & etc.,
W.P.Nos.12542/2015 & 16533-16543/2015
Between:
M/s. Padma Enterprises
Door No.13-415/A, Jodumarga
B.C. Road, Bantwal Taluq
Mooda-574219
Represented by its Proprietor
Sri. Alva Aithappa
S/o Sri. Kochanna Alva
Aged about 58 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Represented by its Principal Secretary
Vidhana Soudha, Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar, Bangalore-560009.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
28/57
3. Commercial Tax Officer (Audit)
Bantwal, Dakshina Kannada
Mangalore District-574219.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
"capital assets" purchased and used in the course of the
business by the petitioner & etc.,
W.P.Nos.18898/2015 & 19160-19182/2015
Between:
M/s. Basaveshwara Stone Crushing Pvt. Ltd.
A Company incorporated under the
Companies Act, 1956, No.337
2nd Floor, 3rd Stage, 4th Block
Basaveshwara Nagar, Bangalore-560079
Represented by its Director
Sri. Ananda Swamy
S/o Sri. Doddaiah
Aged about 42 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Represented by its Principal Secretary
Vidhana Soudha, Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
29/57
Gandhinagar, Bangalore-560009.
3. Deputy Commissioner of Commercial Taxes
(Audit)-6.7, DVO VAT-6, 3rd Floor, 14th Cross
KIADB Building, Peenya II Stage
Bangalore-560058.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
"capital assets" purchased and used in the course of the
business by the petitioner & etc.,
W.P.Nos.37760-37783/2015
Between:
M/s. Navneet Caterers
No.12/B, Sri. Vishwakarma Hostel
Opp. Youth Hostel
Saraswathipuram, Mysore-570009
Represented by Smt. Shilpa N, Partner
Aged about 33 years
...Petitioner
(By Mr. K.J. Kamath, Advocate)
And:
1. The State of Karnataka
Through Secretary (Finance)
Vidhan Soudha, Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Terige Karyalaya-1
Gandhinagar, Bangalore-560009.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
30/57
3. Assistant Commissioner of Commercial Taxes
Local VAT Office-190, Sheshadri Building
Mysore City Circle, Deewans Road
Mysore-570001.
4. Commercial Tax Officer
(Internal Audit & Investigation)-1
Sheshadri Building, Mysore City Circle
Deewans Road, Mysore-570001.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to hold that the
Circular bearing No.20/2013-14 dated 18-12-2013 issued by
the 2nd Respondent (Annexure-"D") is illegal and ultra-vires
the provisions of the Act besides holding the same as
discriminatory in nature & etc.,
W.P.Nos.44980-982/2015 & 47664-47698/2015
Between:
M/s. Bharat Stone Crushers
Panchavati, Door No.1-58
Haleyangadi, Mangaluru
Represented by its Partner
Sri. M. Shantharam Shetty
S/o late Shyamaraya Shetty
Aged about 67 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Represented by its Principal Secretary
Vidhana Soudha, Bengaluru-560001.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
31/57
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar, Bengaluru-560009.
3. Deputy Commissioner of
Commercial Taxes (Audit-1)
Divisional VAT Office (DVO)
Mangalore-575001.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
"capital assets" purchased and used in the course of the
business by the petitioner & etc.,
W.P.Nos.56693-56704/2015
Between:
M/s. Padma Enterprises
Door No.13-415/A
Jodumarga, B.C. Road
Bantwal Taluq, Mooda-574219
Represented by its Proprietor
Sri. Alva Aithappa
S/o Sri. Kochanna Alva
Aged about 58 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Represented by its Principal Secretary
Vidhana Soudha, Bengaluru-560001.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
32/57
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar, Bengaluru-560009.
3. Commercial Tax Officer (Audit)
Office of the Commercial Tax Officer
Bantwal-574219
Dakshina Kannada.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
'capital goods' purchased and used in the course of the
business by the petitioner & etc.,
W.P.Nos.56705-56716/2015
Between:
M/s. Padma Enterprises
Door No.13-415/A
Jodumarga, B.C. Road
Bantwal Taluq, Mooda-574219
Represented by its Proprietor
Sri. Alva Aithappa
S/o Sri. Kochanna Alva
Aged about 58 years.
...Petitioner
(By Smt. Vani H, Advocate)
And:
1. State of Karnataka
Department of Finance
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
33/57
Represented by its Principal Secretary
Vidhana Soudha, Bengaluru-560001.
2. Commissioner of Commercial Taxes
Vanijya Therige Karyalaya-I
Gandhinagar, Bengaluru-560009.
3. Commercial Tax Officer (Audit)
Office of the Commercial Tax Officer
Bantwal-574219
Dakshina Kannada.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
'goods' under Section 15 of the Karnataka Value Added Tax
Act 2003 and rules framed there under does not include
'capital goods' purchased and used in the course of the
business by the petitioner & etc.,
W.P.Nos.3609/2016 & 6182-6192/2016
Between:
M/s. Oriental Quarries And Mines Pvt Ltd.,
No.717/2, First Floor, Flat No.2
Marigangappa Layout, Ramanagar-562109
Represented by its Manager
Sri. Sandeep Aiyappa.
...Petitioner
(By Mr. Pavamana D.V., Advocate)
And:
1. State of Karnataka
Represented by its Principal Secretary
To Government, Department of Finance
Vidhana Soudha, Bangalore-560001.
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
34/57
2. The Commissioner of Commercial Taxes
Karnataka Vanijya Therige Karyalaya
Gandhinagar, Bangalore-560009.
3. Joint Commissioner
of Commercial Taxes, DVO-02
Represented by Commercial Tax Officer
(Audit)-2.2, V.T.K. II V Floor
80 Feet Road, Viveknagar Post
Koramangala, Bangalore-560047.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Article 226 of the
Constitution of India, praying to declare that the word goods
under Section 15 of the Karnataka Value Added Tax Act
2003 and Rules framed there under does not include
"Capital Assets" Goods & etc.,
W.P.Nos.5534-5557/2016
Between:
M/s. Apkon Crushers
A Partnership Firm registered under the
Indian Partnership KVAT Act, 1932
Regd Office:
Balavigneshwar Temple
Mydala, Urdigere Hobli
Tumkur-572101
Represented by its Managing Partner
Smt. Asha Prassannakumar
Aged about major.
...Petitioner
(By Mr. K.G. Kamath, Advocate)
And:
1. The State of Karnataka
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
35/57
Through Secretary (Finance)
Vidhan Soudha, Bangalore-560001.
2. Commissioner of Commercial Taxes
Vanijya Terige Karyalaya-1
Gandhinagar, Bangalore-560009.
3. Assistant Commissioner of Commercial Taxes
(Audit & Recovery) Opposite to SBM
Sira Gate, Tumkur-572102.
4. Assistant Commissioner of Commercial Taxes
Local VAT Office-175, 2nd Floor
Jai Bharat Tower, Vivekananda Road
Tumkur-572101.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to issue a Writ of
Certiorari or a direction in the nature of a Writ of Certiorari
quashing the impugned re-assessment orders passed under
section 39(1) of the KVAT Act, 2003 by the 3rd respondent
(Annexure - "A" & "B") & etc.,
W.P.Nos.9981/2016 & 11794-11816/2016
Between:
M/s. Venkateshwara Stone Crushers
# Kanayana Agrahara, Anjanapura Post
Bannerghatta Village Panchyath
Anekal Taluk-560062
Represented by its Authorised Signatory
Sri. N. Venkatesh Babu.
...Petitioner
(By Mr. Pavamana D.V. Advocate)
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
36/57
And:
1. State of Karnataka
Represented by its Principal Secretary
To Government, Department of Finance
Vidhana Soudha, Bangalore-560001.
2. The Commissioner of Commercial Taxes
Karnataka Vanijya Therige Karyalaya
Gandhinagar, Bangalore-560009.
3. Assistant Commissioner of Commercial Taxes
Represented by Commercial Tax Officer
(Audit & Recovery 3.9), DVO-3, BMTC
Complex, II Floor, Shanthinagar
Bangalore-560027.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to declare that the word
goods under Section 15 of the Karnataka Value Added Tax
Act 2003 and Rules framed there under does not include
"Capital Assets" Goods. The validity of the KVAT Act itself is
challenged under this writ petition & etc.,
W.P.Nos.16143/2016 & 16233-16243/2016
Between:
M/s. Hotel Junior Kuppanna
Represented by its Partner
Sri. A. Rajamanickam
Aged About 58 years
No.34, 5th Cross, 5th Block
Koramangala, Bengaluru-560095.
...Petitioner
(By Mr. M.N. Shankare Gowda, Advocate)
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
37/57
And:
1. The State of Karnataka
By its Principal Secretary
Finance Department
Vidhana Soudha, Bangalore-560001.
2. The Commissioner of Commercial Taxes
Vanijya Therige Karyalaya
1st Main, Gandhinagar, Bangalore-560009.
3. The Assistant Commissioner of
Commercial Taxes, LVO-015
(Additional), VTK-2, Koramangala
Bengaluru-560047.
4. The Deputy Commissioner of
Commercial Taxes (Audit)-4.6
DVO-4, Room No.205, 2nd Floor
VTK-2, Koramangala
Bengaluru-560047.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Article 226 of the
Constitution of India, praying to issue a Writ of Certiorari or
a direction in the nature of a Writ of Certiorari quashing the
order No.ACCT-15(A)/T./2015-16, dated 30-06-2015 issued
by the third respondent under Section 15 of the Act read
with Rule 144 of the Rules (Annexure-"E") & etc.,
W.P.Nos.43774-777/2014 & 1844-1909/2015
Between:
M/s. Unity Granite Industries
A Partnership Firm registered under
the Indian Partnership Act, 1932
Regd Office: Gorate, Mavinkodlu Post
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
38/57
Kulunje Village, Kundapura Taluk
Udupi District-576 227
Represented by its Managing Partner
Francis George
Aged about 53 years.
...Petitioner
(By Mr. K.J. Kamath, Advocate)
And:
1. The Assistant Commissioner of
Commercial Taxes, (Enforcement)
Vivekananda 4th Cross Road
Ajjarakadu, Udupi-576 101.
2. The Assistant Commissioner of
Commercial Taxes
Local VAT Office-290
Kundapur-576 201.
3. The Commissioner of Commercial
Taxes in Karnataka
Vanijya Therige Karyalaya
1st Main, Gandhinagar
Bangalore-560 009.
... Respondents
(By Mr. T.K. Vedamurthy, AGA)
****
These Writ Petitions are filed under Articles 226 & 227
of the Constitution of India, praying to issue a Writ of
Certiorari or a direction in the nature of a Writ of Certiorari
quashing the impugned endorsement dated 29-05-2014
issued by the First Respondent for the assessment periods
April 2007 - March 2008 to April 2012 - March 2013
(Annexure-"A") & etc.,
These Writ Petitions coming on for Preliminary Hearing
in 'B' Group, this day, the Court made the following:-
Date of Order 07-11-2017 W.P.Nos.42655/2017 &
42833-834/2017 and connected matters
M/s. Hotel Junior Kuppanna & Ors. Vs.
The State of Karnataka & Ors.
39/57
ORDER
Mr. K.J. Kamath, Mr. M.N. Shankare Gowda, Mr. Pavamana D.V. Mrs. Vani H, Mr. Jagadish Chandra Kamath K, Mr.K.M. Shivayogiswamy, Mr.R. Venkatesh Prasad, Mr. Atul Krishna Rao, Mr. Atul K. Alur, Mrs. Gayathri Balu, Advocates for Petitioners Mr. T.K. Vedamurthy, AGA for Respondents - State
1. The assessees petitioners in this batch of petitions are aggrieved by the denial of the benefit of 'Composition Scheme' contained in Section 15 of the Karnataka Value Added Tax Act, 2003 ('KVAT Act, 2003' for short).
2. The assessees petitioners are either Hoteliers, Works Contractors or Crushing Units who have been denied this benefit on the ground that they purchased certain goods from outside the State or in the course of inter-State Trade or Commerce including the capital goods like Plant and Machinery and in view of the Circulars issued by the Head of the Department, namely Commissioner of Commercial Taxes, Circular Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
40/57 No.14/2013-14 on 05/10/2013 and Circular No.20/2013-14 on 18/12/2013, such benefit is sought to be denied to them. Hence, the present writ petitions.
3. These writ petitions have been filed by the different assessees petitioners at different stages of the proceedings undertaken by the Respondent Departmental Authorities, some have approached this Court at the notice stage and some have approached against the Assessment Orders passed against them.
4. The learned counsels for the petitioners have submitted before the Court that the said benefit under Section 15 of the KVAT Act, 2003 of Composition of Tax cannot be denied to them, if they have effected purchases of Capital Goods from out side the State, as they do not trade in such goods and such goods have been purchased by them in the ordinary course of their business and which was essential for their business as such.
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5. Relying upon Rule 135 of the Karnataka Value Added Tax Rules, 2005 (hereinafter referred to as the 'KVAT Rules, 2005' for short), which further provides for certain conditions to be satisfied by a Dealer opting to pay tax by way of Composition under Section 15 of the KVAT Act, 2003, the learned counsels have urged that only the goods held in stock which are brought from outside the State hits such assessees or if a Dealer is selling liquor or he is a dealer selling goods in the course of inter-State Trade or Commerce or in the course of export outside the territory of India and therefore Rule 135 of the KVAT Rules, 2005 clearly indicates that the purchase of capital goods from outside the State does not debar the assessees from availing the benefit of Composition of Tax under Section 15 of the KVAT Act, 2003.
6. They have also sought to urge certain points with regard to validity of Section 15 of the KVAT Act, Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
42/57 2003. However, they fairly submitted that the question of validity of Section 15 of the KVAT Act, 2003 has already been examined and upheld by a learned Single Judge of this Court in the case of New Taj Mahal Café Private Limited and others Vs. The State of Karnataka and others [(2009) 66 Kar.L.J. 321] against which the assessees have preferred a Writ Appeal, W.A.No.1654/2009 (New Taj Mahal Café Private Limited and others Vs. The State of Karnataka and others) which is pending for hearing before the Division Bench of this Court.
7. They however sought to contend that the contentions now raised before this Court about the capital goods aspect was never raised before the learned Single Judge in the case of New Taj Mahal Café Private Limited and others (supra) and therefore such question of interpretation raised by them at this stage deserves to be considered by this Court, more so, in the light of the Circulars issued by the Respondent Commissioner of Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
43/57 Commercial Taxes which are binding on the Assessing Authorities and the Assessing Authorities will not be able to appreciate the contentions raised before this Court in the correct perspective.
8. On the other hand, the learned Additional Government Advocate for the Revenue, Mr.T.K. Vedamurthy has submitted before the Court that as far as question of validity of Section 15 (1) of the KVAT Act, 2003, is concerned, the issue is already pending before the Division Bench of this Court in the case of New Taj Mahal Café Private Limited and others (supra) and that question cannot be allowed to be re-agitated before this Court again.
9. On the question of purchase of capital goods by the assessees in the present cases also, the learned counsel for the Revenue has submitted that there is no exclusion of the capital goods from the words 'goods' employed in Section 15 of the KVAT Act, 2003 and Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
44/57 therefore the dealers who purchase or obtain goods from outside the State or trade outside the Territory of India are excluded from the ambit and scope of Section 15 of the KVAT Act,2003 and they should pay regular rate of tax and get their assessments done in the ordinary course under Section 4 and other relevant provisions of the KVAT Act, 2003.
10. He submitted that the Circulars issued by the learned Commissioner of Commercial Taxes just explain the provisions of the KVAT Act,2003 as they stand and there is no such interpretation of these provisions which would inhibit the discretion of the Assessing Authorities or even the Appellate Authorities to decide the cases in accordance with law.
11. He also raised the plea of availability of alternative remedy under Section 62 of the KVAT Act, 2003 by way of an Appeal against the impugned assessment orders to the present petitioners assessees.
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12. I have heard the learned counsels for the petitioners and the learned Additional Government Advocate for the Revenue and perused the record.
13. This Court is of the considered opinion that novelty of arguments or a different shade of arguments or a set of arguments now sought to be raised again to re-agitate the issue of validity of Section 15 of the KVAT Act, 2003 is no ground to entitle the petitioners assessees to maintain these writ petitions on that ground.
14. A learned Single Judge of this Court has comprehensively dealt with the arguments regarding the validity of the said provision of the KVAT Act, 2003 by a detailed judgment rendered on 26/03/2009 in the case of New Taj Mahal Café Private Limited and others Vs. The State of Karnataka and others. The learned Single Judge has observed that Section 15 of the KVAT Act, 2003 is to provide some facility, i.e. simplifying the Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
46/57 procedural compliances required on the part of the assessees and the identification of such assessees or dealers having been indicated in the provisions of Section 15 of the KVAT Act, 2003 which is meant for small time dealers and not big businessmen, dealers who are executing works contracts or dealers who are Hoteliers, Restaurateurs, caterers or dealers running sweetmeat stalls excluding the big businessmen.
15. The relevant extract as per paragraphs 44 to 48 of the said judgment is quoted below for ready reference:
"44. The only requirement when differential treatment is being meted out to different types of persons is that the difference or the distinguishing features between the two classes should be identifiable by itself and that should have some purpose to be achieved in the context of the provisions of the law. Celebrated principle of the classification being on an intelligible criteria having a nexus to the Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.47/57
object has to be demonstrated. The classification should be based on an
identifiable criteria i.e., one should be able to clearly understand the difference between the two groups, one who is in and one who is kept out. There is no difficulty in the present provision for identifying the class of dealers who are given the facility and who are not which is clearly identifiable as those who have effected purchases within the State and those who have effected purchases from outside the State. The other requirement is that it should have a nexus to the object of the provision.
45. The object of the particular provision Section 15 of the Act is to provide some facility i.e., simplifying the procedural compliances required on the part of an assessee and the identification of such assesses or dealers having been indicated to be on the basis of the difficulty in adhering to the procedural requirements, particularly, in respect of persons like dealers who have turnover less than Rs.15 lakhs i.e., small Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.48/57
time dealers not big businessmen, dealers who are executing works contract or dealers who are hoteliers, restaurateurs, caterers or dealers running a sweetmeat stall, but in the sense, who are selling edible items or who is a mechanized crushing unit producing granite or any other metals. The general scheme as indicated for identifying these dealers is that their inputs are numerous and in small quantities. Maintenance of the details of such purchases and input taxes may be cumbersome and as a alternative scheme of taxation by composition is extended to them as a rough and ready method but at the same time not losing sight of the main object of the Act of raising revenue, it cannot be said that the provision does not pass the test of Article 14 of the Constitution of india.
46. Therefore, an attempt to balance the two extending the facility of composition for facilitating such dealers who may face hardship if are required to strictly comply with the procedural requirements of maintaining the accounts and filing returns and at the Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.49/57
same time the State not willing to forego its revenue appreciably, definitely is an object and if this object is to be achieved i.e., classification of dealers amongst the identified dealers as to who should be provided the facility and who should not be to achieve this object of extending the facility and not diminish the revenue to the State, it can be said that classification in such a manner has a nexus to the object.
47. Though the statement filed by the State in the counters and additional counters is with reference to one single petitioner and is not necessarily an example for generalizing the same, it is more symptomatic of the kind of transactions which possibly the persons like the petitioners, caterers/restaurateurs have been doing and to demonstrate the consequences of such persons having purchases outside the state and the possible results on revenue.
48. The table definitely indicates that when dealers identified as hoteliers, restaurateurs and caterers are provided the facility in all Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.50/57
situations, there will be reduced revenue to the State attributable to the dealers even amongst them who have purchased from outside the State. The classification here need not be absolute and precise. The provision also being not a charging Section it is also not necessary for the State to demonstrate that the burden is more or less uniform. The provision being one to provide for a facility and while extending the facility if the State has made a classification on a plausible method and so long as that has the nexus to the object, the statutory provision cannot be found fault with on the ground of being a discriminatory provision violating Article 14 of the constitution of India. By and large, the provisions of Section 15 of the Act as they exist now i.e., one of making a distinction between identified class of dealers having purchased from outside the State and those who do not have, can be said to be a reasonable classification and having some purpose and nexus to the object of providing facility and retaining the purpose of the Act. Even here, the depth of scrutiny is Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.51/57
proportionate to the affectation in the sense, greater the affectation stricter the examination. The complaint is not that there is affectation, complaint is that the facility is denied. The affectation being present in the case of the petitioners is a different matter because that is an affectation which they had invited themselves and that cannot be the test to examine the discriminatory nature of the provision as complained by the petitioners. It is also of relevance to notice that the petitioners by themselves form a class of dealers who are in fact identified for extending the facility and within them a further sub-classification i.e., in the first instance, the petitioners are identified as class of dealers who alone get the facility and not others in general. Such being the nature of the provision, a further sub-classification to fine tune the provisions cannot be one characterized as discriminatory as the object of classification is only in furtherance of the main purpose of extending the facility and at the same time retaining the revenue to the State at more or less the same level. So long Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.52/57
as the provision is achieving this object the provision passes the test of Article 14 of the constitution of india and that is what is found in the present situation and it is therefore to be declared that the provision does not infringe Article 14 of the Constitution of India as being discriminatory."
16. That as far as the question of the validity of the said provision of the KVAT Act, 2003 is concerned, this Court cannot reconsider the issue de novo merely because some arguments are sought to be raised which as contended by the learned counsel for the petitioners, was not raised earlier. They are free to raise any such questions relating to validity of the said provisions before the Division Bench of this Court where the appeal against the said judgment of the learned Single judge namely Writ Appeal No.1654/2009 is pending in the same case.
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17. Unnecessarily multiplying the litigation before this Court on the same ground or even a shade of different ground cannot be appreciated. Since the Division Bench of this Court is seized of the matter, it is left free for the assessees petitioners and their learned counsels to raise the said arguments before the Division Bench of this Court.
18. As far as the question of the Circulars issued by the Respondent Commissioner of Commercial Taxes is concerned, the two Circulars, namely No.14/2013-14 and No.20/2013-14, this Court does not find anything offending or beyond the language of Section 15 of the KVAT Act, 2003 and Rule 135 of the KVAT Rules, 2005 in the said Circulars. The said Circulars merely explain the provisions of the said Section 15 of the KVAT Act, 2003 and Rule 135 of the KVAT Rules, 2005 in a contextual manner. The Assessing Authorities or even the Appellate Authorities while dealing with such issues Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
54/57 are still free to take their independent view of the matter and one cannot say that they are bound by the terms of the Circulars issued by the Commissioner of Commercial Taxes which are nothing but administrative guidelines for their sub-ordinate Assessing Authorities and the learned Commissioner of Commercial Taxes has such powers under the KVAT Act, 2003.
19. As far as the questions of interpretation are concerned, not only the Assessing Authorities but even the Appellate Authorities are free to exercise their jurisdiction and can inter alia also refer to such Circulars issued by the Commissioner of Commercial Taxes and other relevant judgments, if cited before them.
20. Therefore, this Court does not find any reason to allow the assessees petitioners to by-pass the regular appellate remedies available to them under the KVAT Act, 2003 before the Appellate Forums and if such Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
55/57 petitions are directed only against the Show Cause Notices issued by the Assessing Authorities, the assessees may first show cause before the concerned Authorities themselves.
21. There is no justification to undertake the exercise of interpreting the various provisions of the KVAT Act, 2003 and the KVAT Rules, 2005 prematurely at this stage and terms like 'capital goods' are 'goods or not at this stage academically and it is necessary for the assessees petitioners to get these mixed questions of facts and law first determined through the Appellate Forums provided under the KVAT Act, 2003 itself.
22. It is only finally against the orders passed by the Karnataka Appellate Tribunal the final fact finding body and appellate authority under the KVAT Act, 2003 that if such questions of law arise for consideration before this Court in the Revisional jurisdiction under Date of Order 07-11-2017 W.P.Nos.42655/2017 & 42833-834/2017 and connected matters M/s. Hotel Junior Kuppanna & Ors. Vs. The State of Karnataka & Ors.
56/57 Section 66 of the KVAT Act, 2003 that such questions can be raised before this Court.
23. Thus, in that view of the matter, these writ petitions are considered to be premature and do not deserve to be entertained by this Court at this stage.
24. The petitioners assessees are therefore relegated back before the Departmental Authorities at the stage from which whey have approached this Court and they will be free to raise their contentions before the Departmental Authorities and such Departmental Authorities will be free to pass orders in accordance with law.
25. As already made clear above, the question of validity of Section 15 of the KVAT Act, 2003 itself is already open and subject matter of consideration by the Division Bench of this Court, where both the parties are of course free to raise their respective contentions.
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26. Therefore, with these observations, the present writ petitions are disposed of. Interim orders stand vacated.
27. If the regular Appeals are filed by the assessees petitioners within 30 days from today under the provisions of the KVAT Act, 2003, they shall be entertained by the respective Appellate Authorities, without raising objection about the limitation, however the assessees petitioners will have to comply with the other conditions for maintaining such Appeals in accordance with the provisions of the KVAT Act, 2003.
28. The present writ petitions are accordingly disposed of. No costs.
Sd/-
JUDGE BMV*