Full Judgment Text
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PETITIONER:
STATE OF KERALA
Vs.
RESPONDENT:
JAY ENGINEERING WORKS LTD., ERNAKULAM
DATE OF JUDGMENT18/02/1983
BENCH:
VENKATARAMIAH, E.S. (J)
BENCH:
VENKATARAMIAH, E.S. (J)
BHAGWATI, P.N.
CITATION:
1983 AIR 369 1983 SCC (2) 81
1983 SCALE (1)151
ACT:
Kerala General Tax Rules, 1963, Rule 9(b) (f) Scope of-
Claim for deduction, in respect of goods returned by the
purchasers, should be made in the same assessment year in
which they were sold.
HEADNOTE:
Allowing the appeal, the Court
^
HELD: Any claim for deduction in respect of goods
returned by the purchasers under Rule 9(b) (i) of the Kerala
General Sales Tax Rules, 1963 should be made in the
assessment proceedings relating to the year in which the
said goods were sold and not in the assessing proceedings
relating to the assessment year in which they were returned.
[362 A-B]
Deputy Commissioner of Sales Tax (Law) Board of Revenue
(Taxes), Ernakulam v. Messers Motor Industries Co.,
Ernakulam, [1983] 2 S.C.R. 384 followed.
JUDGMENT:
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 2291 of
1980.
Appeal by Special Leave from the Judgment and order
dated the 21st November, 1978 of the Kerala High Court in
TRC No. 31 of 1978.
P.K. Pillai for the Appellant.
C. Agarwala for the Respondent.
The Judgment of the Court was delivered by
VENKATARAMIAH, J. This appeal is filed against the
judgment dated November 21, 1978 of the High Court of Kerala
in The Jay Engineering Works Ltd. v. State of Kerala(1).
In Deputy Commissioner of Sales Tax (Law), Board of
Revenue (Taxes), Ernakulam v. M/s. Motor Industries Co.,
Ernakulam(2), we
362
have held that any claim for deduction in respect of goods
returned by the purchasers under Rule 9 (b) (i) of the
Kerala General Sales Tax Rules, 1963 should be made in the
assessment proceedings relating to the year in which the
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said goods were sold and not in the assessment proceedings
relating to the assessment year in which they were actually
returned. following the above decision we set aside the
judgment of the High Court in this case and direct that the
assessment order for the year 1972-73 shall be accordingly
modified. As a consequence of this order, the Department is
directed to modify the assessment order for the assessment
year 1971-72 by allowing deduction under Rule 9 (b) (i) of
the Kerala General Sales Tax Rules, 1963 and to make refund
of any excess tax paid during that year.
The appeal is accordingly allowed. No costs.
S.R. Appeal allowed.
363