Gujarat High Court
State Of Gujarat vs Oil And Natural Gas Corporation ... on 26 November, 2014
Author: Akil Kureshi
Bench: Akil Kureshi, Vipul M. Pancholi
O/TAXAP/380/2014 ORDER
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
TAX APPEAL NO. 380 of 2014
With
TAX APPEAL NO. 382 of 2014
With
TAX APPEAL NO. 384 of 2014
With
TAX APPEAL NO. 390 of 2014
With
TAX APPEAL NO. 433 of 2014
With
TAX APPEAL NO. 434 of 2014
With
TAX APPEAL NO. 435 of 2014
With
TAX APPEAL NO. 436 of 2014
With
TAX APPEAL NO. 437 of 2014
With
TAX APPEAL NO. 468 of 2014
With
TAX APPEAL NO. 469 of 2014
With
TAX APPEAL NO. 470 of 2014
With
TAX APPEAL NO. 471 of 2014
With
TAX APPEAL NO. 472 of 2014
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STATE OF GUJARAT....Appellant(s)
Versus
OIL AND NATURAL GAS CORPORATION LIMITED....Opponent(s)
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Appearance:
MR KAMAL TRIVEDI, ADVOCATE GENERAL WITH MS SANGEETA VISHEN,
AGP for the Appellant(s) No. 1
MR N VENKATARAMAN, SENIOR ADVOCATE WITH MR NITIN K MEHTA,
Page 1 of 4
O/TAXAP/380/2014 ORDER
ADVOCATE for the Opponent(s) No. 1
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CORAM: HONOURABLE MR.JUSTICE AKIL KURESHI
and
HONOURABLE MR.JUSTICE VIPUL M. PANCHOLI
Date : 26/11/2014
ORAL ORDER
(PER : HONOURABLE MR.JUSTICE AKIL KURESHI) These tax appeals arise between the same parties and though there are factual differences on account of different periods of assessment, central legal controversies are common. These tax appeals filed by the State Government are cross appeals to Tax Appeal No.50/2014 and connected appeals filed by the assessee ONGC. On account of internal factual differences, different legal questions arise in these appeals. However, four substantial questions of law which we propose to frame and refer for our consideration, would cover all tax appeals. Once these questions are answered, the ultimate result of respective tax appeals would be automatically decided.
Under the circumstances, these tax appeals are admitted for consideration of following substantial questions of law :
(1) Whether in the facts and circumstances of the case, the Tribunal was right in law in holding that processing and transportation charges not received by the respondent from Gas Authority of India Limited (GAIL) cannot be included as part of the sale price of the gas sold by the respondent to GAIL?Page 2 of 4
O/TAXAP/380/2014 ORDER (2) Whether, in the facts and circumstances of the case, the Tribunal was right in law in holding that the sale of kerosene by the respondent herein to Old Marketing Companies falls within the meaning of the phrase "Sales of Kerosene for domestic use sold for public distribution system" and is therefore exempt from the whole of tax under Entry 33 of the schedule to the notification issued under section 49(2) of the Gujarat Sales Tax Act, 1969 and is otherwise exempt from the whole of tax under Entry 173 of the notification issued under section 49(2) of the Gujarat Sales Tax Act, 1969, and hence no tax can be levied on the discount amount of such sale?
(3) Whether in the facts and circumstances of the case, the Tribunal was right in law in holding that the sale of Liquefied Petroleum Gas by the respondent to Oil Marketing Companies falls within the meaning of the phrase "Sales of liquefied petroleum gas (domestic) as used in Entry 70 of the notification issued under section 49(2) of the Gujarat Sales Tax Act, 1969, and hence no tax exceeding the rate of 14% can be levied on the Liquefied Petroleum Gas sold by the respondent in bulk to Oil Marketing Companies?
(4) Whether, in the facts and circumstances of the case, the Tribunal was right in law in holding that the respondent is not liable to pay any penalty under section section 45(2)(c) and section 45(6) of the Gujarat Sales Act, 1969?
To be heard with Tax Appeal No.50/2014. Learned advocate Shri Nitin Mehta waived service of admission on behalf Page 3 of 4 O/TAXAP/380/2014 ORDER of ONGC.
In Tax Appeal No.382/2014, following additional substantial question of law is framed :
Whether, in the facts and circumstances of the case, the Tribunal was right in law in holding that the levy of interest on provisional refund is without authority of law?
(AKIL KURESHI, J.) (VIPUL M. PANCHOLI, J.) raghu Page 4 of 4