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Showing contexts for: kvat act in M/S Ws Retail Services Private Limited vs The State Of Karnataka on 14 November, 2017Matching Fragments
5. The two important definitions in the said Scheme are reproduced below for ready reference:-
"1.1 "Arrears of tax" means tax assessed/reassessed as per the provisions of the KST and CST Acts relating to all the assessment years upto 31/03/2005 and tax assessed/reassessed as per the provisions of the KVAT Act and CST Acts relating to the tax periods for all the years commencing from 01/04/2005 upto 31/03/2016 and also tax assessed/reassessed under the provisions of KTEG Act, KTPTC & E Act, KTL Act, KAIT Act and KET Act relating to all the years upto 31/03/2016 and remaining unpaid upto 15/03/2017.
13. The learned counsel for the petitioners- assessees relied upon several case laws and also the learned Addl.Advocate General on the other side and a brief review of these case laws will be made hereinafter at the appropriate place.
14. On the other hand, Mr.Aditya Sondhi, learned Addl.Advocate General appeared for the Respondent- State and Commercial Tax Department, has vehemently submitted that the provisions of 'KSS 2017', have to be harmoniously read with the provisions of KVAT Act, 2003 and Chapter-V comprising from Sections 35 to 57 of the KVAT Act, 2003, including Section 42 of the Act provides for "Payment and recovery of tax, penalties, Date of Judgment 14-11-2017 W.P.No.33176/2017 & Connected Matters M/s. WS Retail Services Private Limited & Others Vs. The State of Karnataka & Others interest and other amounts, issuance of clearance certificates" and in the framework of the said provisions, the provisions of Section 42(6) of the Act clearly stipulate that the amount paid by the dealer which falls short of the aggregate of the tax or any other amount due and interest payable, the amount so paid shall first be adjusted towards the interest payable and the balance, if any, shall be adjusted towards the tax or any other amount due.
37. At this stage, the brief review of the case laws discussed at the bar would be opportune.
38. The Division Bench of this Court in Mangilal S.Jain vs. Commissioner of Income Tax and Others (ILR 2003 KAR 2066) dealt with a similar controversy under 'Kar Vivad Samadhan Scheme, 1998', under Income Tax law announced in the Finance Act, 1998 and the Court held that any payments made towards tax arrears after the date of assessment and before the date of declaration filed under 'Kar Vivad Samadhan Scheme', will have to be taken as part payment towards tax in regard to declaration under the said Scheme and Explanation to Section 140-A(1) of the Income Tax Act which is akin to Section 42(6) of the KVAT Act, 2003, cited before this Court and the general law will be Date of Judgment 14-11-2017 W.P.No.33176/2017 & Connected Matters M/s. WS Retail Services Private Limited & Others Vs. The State of Karnataka & Others inapplicable to the matters covered by the 'Kar Vivad Samadhan Scheme'.
43. The learned Single Judge of the Kerala High Court in M/s.Alwaye Sugar Agency vs. Commercial Tax Officer, Alwaye & Others [(2011) 42 VST 517], also dealt with a similar controversy as is involved in the present case and under the provision of 'Amnesty Scheme' announced in Kerala in the Budget Speech of 2010, the learned Single Judge directed that a sum of Rs.75,000/- deposited by the petitioner-assessee under the said Scheme, cannot be adjusted against the interest portion under Section 55C of the Act, which is also akin to Section 42(6) in KVAT Act and the Court allowed the Writ Petition with the following observations:-