Andhra HC (Pre-Telangana)
Prabha Enterprises vs Deputy Commercial Tax Officer, ... on 30 July, 1991
Equivalent citations: [1994]93STC278(AP)
Author: S.S. Mohammed Quadri
Bench: S.S. Mohammed Quadri
JUDGMENT Lakshmana Rao, J.
1. The petitioner is a manufacturer of shampoos. It established a unit for that purpose. The unit went into production with effect from March 2, 1990.
2. The State Government issued G.O. Ms. No. 498, Industries and Commerce (IA) Department, dated October 16, 1989, extending concessions, namely, investment subsidy and deferment/tax holiday on sales tax. In respect of small-scale industries situated in all the districts in the State five-years' sales tax holiday, subject to a ceiling of rupees thirty-five lakhs of sales tax during the entire holiday period, has been extended. The petitioner, which is a small-scale industry, has claimed the incentive relating to five years' sales tax holiday. Paragraph 5 of the Government Order provides that the incentives offered in the order will not be available for the industries indicated in the annexure to the order. One of the industries mentioned in the annexure is the one relating to manufacture of shampoos. When the petitioner claimed the incentive of five-years' sales tax holiday in accordance with the terms of the Government Order referred to above, the Deputy Commercial Tax Officer, Kothapeta, Guntur, the first respondent herein, informed the petitioner through proceedings dated October 3, 1990 that, it is not eligible for any incentive granted under the said Government Order as "shampoo" industry is one of the industries mentioned in the annexure to the Government Order. Aggrieved by those proceedings, this writ petition is filed.
3. G.O. Ms. No. 498, dated October 16, 1989 specifically provides in paragraph 7 that the State Level Committee or the District Level Committee, as the case may be, shall scrutinise the claim applications filed by the applicants claiming the incentives under the Government Order. Admittedly, the petitioner had not submitted any application so far, under the Government Order to either the State Level Committee or the District Level Committee. Whether the petitioner is entitled to the incentive, including the deferment/tax holiday on sales tax, or not under the said Government Order can be considered and decided only by the Committee referred to in the Government Order. Therefore, the proper course open to the petitioner is to approach either the District Level Committee, or the State Level Committee, as the case may be, and obtain a certificate from it regarding the eligibility of the petitioner for claiming the incentive, including deferment/tax holiday, provided under the Government Order. The petitioner shall submit the application, if not already submitted, either to the State Level Committee or the District Level Committee, as the case may be, having regard to the capital invested, within four weeks from today. The concerned Committee shall consider the application and pass appropriate orders thereon in accordance with G.O. Ms. No. 498, Industries and Commerce (IA) Department, dated October 16, 1989, within two months from the date of receipt of the application without reference to the notice CI No. 27649/90-91, dated October 3, 1990 of the Deputy Commercial Tax Officer, Kothapeta, Guntur.
4. The writ petition is accordingly disposed of. No order as to costs. Advocate's fee Rs. 250.
5. Writ petition disposed of accordingly.