High Court Kerala High Court

State Of Kerala vs Seven Seas Distillery Limited on 8 November, 2010

Kerala High Court
State Of Kerala vs Seven Seas Distillery Limited on 8 November, 2010
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

ST.Rev..No. 18 of 2010()


1. STATE OF KERALA, REPRESENTED BY
                      ...  Petitioner

                        Vs



1. SEVEN SEAS DISTILLERY LIMITED,
                       ...       Respondent

                For Petitioner  :GOVERNMENT PLEADER

                For Respondent  :SRI.V.V.ASOKAN

The Hon'ble MR. Justice C.N.RAMACHANDRAN NAIR
The Hon'ble MR. Justice B.P.RAY

 Dated :08/11/2010

 O R D E R
                C .N. RAMACHANDRAN NAIR, &
                   BHABANI PRASAD RAY, JJ.
                --------------------------------------------
                      S. T. Rev. No. 18 of 2010
                --------------------------------------------
              Dated this the 8th day of November, 2010

                              JUDGMENT

Ramachandran Nair, J.

Heard Government Pleader appearing for the State and Sri. V.V.

Asokan appearing for the respondent. The question raised is whether

the Tribunal was justified in cancelling the assessment of fixed assets

amounting to Rs. 21,86,077/-. After hearing both sides and after going

through the Tribunal’s order, we feel that if the assessee-company’s

assets were used in Head Office at Chennai, and were sold there then

there is no scope for assessment in Kerala. However, Tribunal

accepted the contention of the respondent without verifying the

documents said to have been produced before it. In fact if fresh

documents are produced before it, it was the duty of the Tribunal to

examine the correctness and either allow the claim or they should have

remanded the matter for the Officer to consider the correctness of the

claim based on documents produced. In fact, fixed assets sales are

taxable in Tamil Nadu also and assessee could have produced

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assessment made in Tamil Nadu. We feel the matter requires

reconsideration at the hands of the assessing officer. Accordingly we

allow the revision setting aside the order of the Tribunal on this issue

for the year 2000-01 and remand the matter to the assessing officer for

considering the documents to be produced by the assessee pertaining to

the assets sold, tax payment, etc. in Tamil Nadu. If the assets were

used and sold in Tamil Nadu, then the assessing officer will exclude the

turnover from assessment, no matter whether the turnover escaped

assessment in Tamil Nadu or not.

S.T. Revision is allowed to the extent indicated above.

(C.N.RAMACHANDRAN NAIR)
Judge.

(BHABANI PRASAD RAY)
Judge.




kk

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