M/S Hemadri Enterprises vs State Of A.P. on 22 March, 2023
In assessments which had been completed the revenue
held that input tax credit was inadmissible; the tribunal
upset assessment orders, and the orders of the advance ruling
authority. The revenue went in revision against the order of
the Tribunal, which had set aside the ruling of the advance
authority. The High Court in its judgment “Sree Manasa
Enterprises & Ors. vs. Commercial Tax Officer & Ors.”
[Manu/AP/0452/2009] held that the appellant was dis-entitled
to input credit because a composite duty/tax of 70% had been
levied on the bottles which contained the beer/liquor. The
revenue had contended that the input credit was inadmissible
primarily because the recycled bottles were sourced from
unregistered dealers and hawkers and, therefore, did not
confirm to the provision of the A.P. VAT Act and Rules
(regulating admissibility of input credit) inasmuch as
invoices were unavailable.