{"id":133570,"date":"2009-12-02T00:00:00","date_gmt":"2009-12-01T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/mysore-urban-development-vs-state-of-karnataka-on-2-december-2009"},"modified":"2016-09-19T03:15:00","modified_gmt":"2016-09-18T21:45:00","slug":"mysore-urban-development-vs-state-of-karnataka-on-2-december-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/mysore-urban-development-vs-state-of-karnataka-on-2-december-2009","title":{"rendered":"Mysore Urban Development … vs State Of Karnataka on 2 December, 2009"},"content":{"rendered":"
Karnataka High Court<\/div>\n
Mysore Urban Development … vs State Of Karnataka on 2 December, 2009<\/div>\n
Author: K.L.Manjunath And Kumar<\/div>\n<\/p>\n
<\/pre>\n
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I
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?RESENT<\/p>\n
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\ufb01\ufb01b<\/p>\n
THE Hozvsm I~\u00a3R.e3US'f\u00a3'I{IE  <\/p>\n
s.=r.R.\u00a7.mo.\u00a7\u00a7__oF ago?<\/p>\n
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1 24253632 13% ms\ufb01izzcpzmrr. Z=9.’3’I’HGRE’i’*–Y
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1 s*r\u00a7:1*3:v;_ GE :%:ARiz,A:eA’:s;A
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\n._ __\u00e9&\u00a7nE\u00a7\u00a7AQKRMM\\ …..\n<\/p>\n
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ESEAL<\/p>\n
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mzsezm  RES\u00a7G1=\u00a5BE”\u00a3\u00a7ff$<\/p>\n
V \u00a7\u00a7y SET : G\u00a3ETE\u00a7 MEEQK, $&.;R”2 \ufb01\ufb01\ufb01 3 EELTEE)<\/p>\n
STE? FILE \u00a7fS 33\u20aci} Q? $33 K\ufb01REA\u00a7&K&
\nSALES T&X EST, lg\ufb01? A\u00a7&IH$? QHE J3\ufb01G\ufb01ERT AEE<\/p>\n
W<\/p>\n
km)”\n<\/p>\n
$RBER ngwaa a4.:Q.2ae? ygssns .{:E\u20ac\u00a7.$?g”_
\n\u00a7a.4\u00a75\/2396 an THE FELE or wa’aEARmamAx\u00a7 ‘.
\nAP?ELLATE TIEUR&L, EA\u00a7ALQRE, D\u00a7$\ufb01Z$$:EG*$\ufb01E”*
\nA\u00a7\u00a7EAL AND COEFERMIEG was a\u00e9\ufb02\ufb01\ufb01sk\ufb01\u00e9\ufb01s\ufb01\ufb01 Eyvag;
\nZR RES?ECT a? TEE E:A\ufb01c:AL EEARS,E\u00a78843\u00a7_T\u00a7<\/p>\n
:s\u00a72\u00bb93. V *_<\/p>\n
Thia ?etitian \u00a2emin\u00a7 an fax hearin\u00a7 this
\nday; MANJQRAEH J, ma\ufb01a the fQ;l\u00a2wing:~ F<\/p>\n
A: the time \u00a7f,gdm:ssi\u00a2\ufb01; gge substantial<\/p>\n
que$tions_ o\u00a35″,l&w  _tha\ufb01*V!3fi3\ufb01S % for aux<\/p>\n
acnsLdafa\ufb01i$nu\ufb01&3 n\u00a2t b\u00e9\u00e9hV\u00a3ram\u00a3d\u00a2 Therefore?
\nsite:”Khearimgx7t\u00a7e V1\u00e9arneQ aaunsei fax the<\/p>\n
\u00a7&rti&SgL’wa”.\u00a3:ama’~the fa1;mwing* s\ufb01bstamiial<\/p>\n
‘”p_qu\u00e9$ti@\ufb013_Qf iawa”\n<\/p>\n
 1a “\ufb01h\u00a7\u00a3\ufb01e%”  an tha faata aa\ufb01 in the<\/p>\n
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\n“~th\u00e9’Ebnfbie Supr\u00e9me Qaurt in \u00a71M\u00a3\u00a7$EL’s
\n\u00e9a\ufb01e rapezt\u00e9d in ?2 SEQ 3\u00a78 is ayiiaabla<\/p>\n
-fs\u00e9g HA\ufb01hethar the anzegartd Su\ufb01gmamt pasge\u00e9 %y<\/p>\n
the Eivigiam Eanah af thig Saurt in Sfg?
\n\ufb01e.\ufb011f\u00a73 and gther aemneai\u00e9 Ravigian
\n\u00a7etitiQms dt\u00ab23.8.i\u00a7\u00a7\u00a7 wgul\u00e9 appiy ta \ufb01he<\/p>\n
faatg an\ufb01 aircamgtanaes Q: the cage?<\/p>\n
\u00a9\/<\/p>\n
2, ?he faets lea\u00e9\u00e9ng to this case $\u00a7\u00e9 a@\u00a7 ~<\/p>\n
hareumdgr: __W_<\/p>\n
The Ravisian jgetiticne\ufb01. iSV a =\u00a3t\u00a7tut\u00e9r\u00a77 <\/p>\n
bad? craatad nndar th\u00a7 ,\u00a7r$$i%iggw @\u00a7w-t\ufb01e
\nKarnataka Urban Be\u00a7alapm\u00a7\ufb01E ‘Ayt\ufb01\u00a7ti\u00a7ie\u00a7 A\ufb01t
\nand tha asse\ufb01see i$”%\u00a3e#\u00a7\u00a2\u00a7[i\u00e9 \u00a7%%ez the need
\nof the peopl\u00a2 a\u00a7 %yS\u00a7\u00a3\u00a7V\u00a7Q %%r%’i#yauts and
\n\ufb02\u00a3stribute t\u00a5g}%i\u00a7e% %%_\ufb01%\u00e9t\ufb01%\u00e9\u00a7y persana in
\n3G\ufb01$r\u00a7$\ufb01\u00a2\u20ac*%\u00a7\u00a3\u00a7i\u00a7\u00a7e K\u00a7%b\u00a7\ufb01”$\u00e9\u00a7e1apmmt Act and
\nRules.  ‘E;3″  the work cxf the<\/p>\n
as\ufb01esseeg the a3s$5s@\u00e9 entraata tha w\u00a2rk ta<\/p>\n
“”\u00a7ha.\u00a7&ntra$tQ: am\ufb01~in the aauzse cf exaa\ufb01ting<\/p>\n
 t\u00a7a \u00e9\u00e9g\ufb01ra\ufb01t the assesgee with a\ufb01 intenticn ta<\/p>\n
pr\u00e9\u00e9\ufb01f\u00e9  \u00a7$\u00a7\u00a35 qaaiity cement and stag: has<\/p>\n
 H_ ggrchag\u00e9\ufb01 the stael aha aamamt kg paying $al$$<\/p>\n
‘”,’\u00e9$xV$hd gugglie the materiaz yarchased fzcm<\/p>\n
 ‘m\ufb01ih\u00e9%dgaier$ by it t& the aantractar an\u00a7 at the<\/p>\n
 . ;:::m af final billg the Valua 9f the Qemantf<\/p>\n
izan an\u00e9 stag} suyyiie\u00e9 by the a5$&ssee hag<\/p>\n
been \u00e9@&aat@\u00a7 fram tha runniag aaa\ufb01uaig<\/p>\n
<3,<\/p>\n
gubmiited by the aantmctms. 'The <\/p>\n
Qfficer \u00a7a$sad. an arder on 11.8'_2i.'.1%f\u00a7,ufs';:~V.Vv$si\u00a7i$\u00a7:E3.t;2;.:'Ti\u00a7'  <\/p>\n
that the quantum of iran argd <\/p>\n
the aemant \ufb01uppliaci by-.__.the ',\u00a7.'ssesAs\u00e9c=;A   <\/p>\n
cantxaetar constitute a  \ufb01ei\ufb01g aggrieved
\nby \ufb01ze same, the—irsst\ufb01ssa\u00e9\u00e9"~.._;E?ifi;a\u00a7. a rexrisisn
\nbefcre the  Re*z#3…s3:}_cs–na;3.A   which<\/p>\n
Ravi szzicm \u00a7;_\u20ac:i1%,~g;\u00a2;:1iT"'1:';:~:j:   fa]. lowing the<\/p>\n
Judmzetntv  's' 3C'\u00a73;i",–'E;Vf reported in 72 STC\n<\/p>\n
358.  *?i:1;:e.. ::s:\u00a7’\u00e9sent Revisieri ilwtition
\nis f:}.,1e6:{.’*-._  –\n<\/p>\n
  iijha Z aaunsel far tha assessee<\/p>\n
 ‘::2;3i:e3.’$ case, 9% Q\u00aeart;:mnt; of 2-\u00e9adhya<\/p>\n
i\u00e9raaesh having yvurahase\u00e9 the materiai ha\ufb01<\/p>\n
1:\n<\/p>\n
g3.S’-J\u00bbg<.d1'5\/\n<\/p>\n
-.  tha entry mi’ tha mtezial irita 3;<\/p>\n
legal araa and t;1*1@rafmre the qizastian that had<\/p>\n
arzisan far the cansicieratiszz cf the \ufb02anfbla<\/p>\n
\u00a39<\/p>\n
supreme Ccurt wag whethar the \u00e9ntry aa\u00a7$\u00e9\u00a7;\u00a7g4*_<\/p>\n
the 93 Bapartmnt cf Ma\u00e9hya \u00a7:admsh~i\u00e9.:ign;a;”\u00ab \u00b0<\/p>\n
to gay the entry tax or th\u00e9_c\u00a2ntr#\u00a2\u00a3Qf; \u00a7he; <\/p>\n
Hon*bie S\ufb01preme Courtv aa$si\ufb02&$ingT t\u00a7e,Mf%c\u20acM<\/p>\n
that it is tha Befpartmgg\u00e9t-‘,V:_*a=2}:\u00a7.c%i”  Vi\u00e9zaused
\nentry af the good\u00a7i\u00a7nt%L$\ufb01\u00a7%\u00a7%\u00e931 area held
\nthat the entry.\u00a7ax::s :;a$\u00a7%_\u00a35 \u00a7%;\u00a7aid by the
\n\u00a7WD Bepar\u00a7m\u00e9\u00a7\u00a7::$a\ufb01\u00a7y#{%r%3%$#@” <\/p>\n
4g “SE  \u00a7\u00a7%%\ufb01&% _$$n\ufb01%nds “”” that in the
\ninstan% \u00a7$$e{=\u20ac\u00a7\u00e9 \u00e9\u00a7\u00a7&\u00a7see has yurahasd \ufb01he<\/p>\n
iramgan\ufb01 \u00a7tee; a\ufb01\u00a7 cem&nt fram varicaa \u00e9eaiers<\/p>\n
 ‘\u00e9n\u00a7 at %k\u00e9g\u00a7imem\u00a7f purahase it ha$ yaid the<\/p>\n
tgxfa\ufb01\ufb01a\ufb01 \ufb02ag time of finaiising tha aeaaunta<\/p>\n
V _ wit\ufb01 its a\u00e9ntraatarf the value 0f the matexiai<\/p>\n
 “*”*{gg\u00a7\u00a71:$a by the asaa aimng with the tax \u00a7&id<\/p>\n
‘ \u00a7$ “\u00a7\u00e9$5ed an ta tha Cantraatar $1123 and<\/p>\n
 “*therafare, the txamaactimz betwaan \ufb01he MSEA<\/p>\n
” aad 1&3 aamtractar aamnct aa\ufb01gtitate a 531%.<\/p>\n
\ufb01e farthar aentem\u00e9s ihat, in a similar faats<\/p>\n
&\/<\/p>\n
{><\/p>\n
and airsumstanaes in the matter 3a\u00a7Qya\u00a7S\u00a7u<\/p>\n
EA\u00a7G&LGRE \ufb01k\u00a7ER sa?9L\u00a5 A\ufb01\ufb02 sEwERAQE E\u00a7&\u00a7\u00a7_v$;x, p_<\/p>\n
$T\ufb01\u00a7E G? K%RE\u00a7$AKA I\ufb01 $;$.a;\u00a7;\ufb01Q\u00a75:g\u00a73= \u00e9n\u00a7}<\/p>\n
ather canneated natters,_a \u00a7ivi$icn5\u00a7nsh\u00a7\u00a2f_* <\/p>\n
this Saurtg an 28.8a1\u00a79\u00a7* \u00a7a\u00a7, a\ufb01~;\u00a73\u00a2a%;on ta
\naensi\u00e9er \ufb01he very \u00a7\u00a7mef\u00a7u\u00a7$ti\u00a2\ufb01;,wharein BWSQE
\nhad su\u00a7p1ied_ tha m$ate:i\u00a7l”Ei\u00a3\u00a7e; iran and<\/p>\n
steak, \u00a2em\u00e9@t;*\u00a2a$@ ::\u00a7n:p:\u00a7\u00e9s;~ fittings; 31<\/p>\n
\u00a7i\u00a7e$\u00bb”fit\u00a7in\u00a7\u00e9ga \u00e9\u00a7\u00a2;g ‘t\u00a2w”\ufb01t$ cantraater an\u00e9
\nthe r\u00e9v\u00e9$me_\u00a7\u00e9\u00a7 Ea%i\u00e9\u00a3; tax an suppiy af sash<\/p>\n
mat$riai”%m-\ufb01hg S\ufb01nf\ufb01aatax. The \ufb01ivisiwn Bench<\/p>\n
‘”g_\u00a2\u00a3[ tEi$._Ceu\u00a7t_ has taken a View that Suah<\/p>\n
 E 3\ufb01\u00a7\u00a7l?J \u00a7Q%\u00a7a amt ganstituta a sale and. act<\/p>\n
i\ufb01\ufb01bie $53 tax; There\ufb01ama, h\ufb01 requests \ufb01he<\/p>\n
‘au$a\u00a7r:’t\u00a7 allmw the Ravision Fatitian.<\/p>\n
 j\u00a7, \u00a7et cantxa, the l\u00e9arnd Gavarnmeat<\/p>\n
x”\u00bb\ufb01i \u00e9\ufb01yaaate submita that the Tribuna\u00a7 in itg<\/p>\n
\ufb01x\ufb01\ufb02r hag aampiie\ufb01 the tarma an\ufb01 aan\ufb01itians af<\/p>\n
the agramant :3 \u00a7.\u00a7\u00a3G\u00aeE\ufb01’$ cage and alga in<\/p>\n
6%\/.\n<\/p>\n
the case af the asga\ufb01see and ccng\ufb01-\u00e9xiziv\ufb01lg?  ‘<\/p>\n
team and canditiazzs af th\u20ac~””agz.zfee#;ae:;tT Lr.\u00bbe\u20ac:;*9\u00a7g=gef:_ V<\/p>\n
twa gartieg ha$ calm ta ‘\u20aci:”3.\u20ac:”..\u00a25K3$.\u00a7P..i_\u00a7,.\u00a7.fQE”:k. <\/p>\n
bath the agraamnts 3.x*\u00e9~.._:}f$<:\u00e9,;ni}Q\u00e9r__ ':'.<:;  aa\u00a7\u00e9:{1*i"'<3f;hax " V<\/p>\n
and the ttazzsazsticarn,-"'c:\u00a2::st?I;.tut\u00e9'~–..a\/I sale.<\/p>\n
Therafexa, she :c.\u00b0eq;i1\u00e9.=:T:"\u00a7'*::\u00e9._ i:1fs@  \u20ac:'; c:::;:'*.:; to dismss<\/p>\n
tha p\u00abet:Lt2?.a;1'z..\u00ab  <\/p>\n
:5, $3 'i\ufb02gray s\u00a7V"'JA.'i:3:\u00a215:z;:;V"'; \u00a7\u00e9.:r.2~ian3:unath, tha
\nlaarriged _c:\u00a7iz'?:*2.':*Vaa;V_};:'\u00ab.;i:"c*::,'%f""'%;1?1:=2 jzissesaea carztends that
\nam ar\u00e9gx\u00e9' pas~s\u00e9:iA'~\u00a73%—\u00ab.__\u00a7\u00a7~;\u00e9 Bivisian Bench \ufb01f this<\/p>\n
Q&u':;:t' in  \u00e9h\u00e9 Ezavanue ma \ufb01a\u00e9mn up the<\/p>\n
 Eanfbia \u00a7u\u00a7;+;'ame \ufb01aizrt and tha<\/p>\n
 Smart has d:\u00a7..sz:'\u00a7L$ge& tha SE? at<\/p>\n
th\u00e9. 3%;'\u00a7;g'\u20ac~%.:'mf a&'a3?.sSio:::\u00a5 fherefazag he submits<\/p>\n
":'.\u00a7:*gt'. t\ufb01e substantial quastiens 5:' law invwive\ufb01;<\/p>\n
'~:~:;::- ' t}"1i$ cage 13 squastaiy anmgera\ufb01 by a<\/p>\n
 "-E;\u00a73;%.?3;simz1 Eeaeh Qt' this Cemzrt in E$<3S$B'3 case"<\/p>\n
'*3', Eiaving? heaz\ufb01 the amzngai fer the<\/p>\n
:\u00a7a3f:'tiES_, {era agre cf am View that the \ufb01ugz\ufb01piy cf<\/p>\n
Q?\n<\/p>\n
the tax twiae, since \ufb01he assesses j\ufb01as, \u00a2\ufb01t\u00e9”T”<\/p>\n
paid the tax at the timm o\u00a7 pur\u00a2ha$i\u00a7\u00a7 \u00e9n\u00a7V\u00a7as} u<\/p>\n
tha assesses is liable to \u00a7af Eh\u00e9 $3$ w\ufb01i\u00a7\u00e9 <\/p>\n
supplying the mate\ufb01i\u00e9i  \u00a3c, ,\u00a2@n\u20ac%\u00e9cthr.
\nTherefara, we a;e ‘mf,*t\ufb01\u00a7-5v;aQ\ufb01 tha\u00a3 suah
\ntransaaticn amnunt t\u00a7”$$$hi\u00a7D%\u00a7%a\ufb01ien. ‘Even
\natherwise ‘t.I\u00a7r.},e\u00a7:;–::’%\u00a7EvI\u00a7<::\u00a7_2'}.'t.i\u00a7'$Q;:1\u00a7Kfs\u00a7\u00a7I::):;I' utatiiised the
\nquads sup\ufb01ige\ufb01 E\u00a7\ufb02th$ a$$\u00e9$$ee far tha work of
\nthe ass&$\u00a7\u00e9%K\u00a7and $\ufb01\u00a2\ufb01~~%u\u00a7ply un\u00e9er any
\ncirmu\u00a7\u00a3t&\ufb01c\u00a2\u00a7 1 %g\u00a7\u00a7g\u00a7"\u00a5'c\u00a2n$titete a sala.<\/p>\n
Therafmr\u00e9; 'we'_\u00e9\u00a7\u00e9\u00bb7Qf the viaw that the<\/p>\n
 in :%';':\u00a7;..<:–:3gL $333 $Qb\u00a7\u00a7A:t\u20ac\u00a7':;' vs; smzg TAX<\/p>\n
 K\u00a7?\u00a7$C\u00a7E} "$miL.\n<\/p>\n
<iGA$\u00a7 $3 EEQTEKR has ma<\/p>\n
\u00a7\u00a7\u00a7iiaa\u00a7\u00a7\u00e9m ta the \ufb01aets wf this ease. an the<\/p>\n
 ,gomtr3\ufb01\u00a7 the faats af this case ig sqaazaly<\/p>\n
' . ';::::%}.%\u00e9%\u00a7;:;*ed by the Eivisicn mum in may %:e,=51s'\u00a73<\/p>\n
"m :a\ufb01& athex amnnemte\u00e9 Ravisien ?etitian$ in the<\/p>\n
 matter af R\u00a7;:*IQ&Z;GRE \u00a7~?\ufb01f.E'ER gvyymr g  <\/p>\n
B\ufb01k\ufb01\ufb02 VS. $TA$E GE K&R\ufb01AEAK&, CGEMERCEEL ?AX<\/p>\n
\u00a7E\u00a7&R':'E=\u00a3}I'\u00a7 .\n<\/p>\n
5;’<\/p>\n
E3\n<\/p>\n
8. In the result, the substan\ufb01iai<\/p>\n
questicn af law K0,: framed by as is ag%?\u00e9\ufb01\u00a2\ufb02~u<\/p>\n
against the revenue and tha su\u00a7$t3\u00a7$i\u00a7l\ufb01<\/p>\n
questimn cf 1aw No.2 answere\u00a7 in favau\ufb01i\u00e9f the F<\/p>\n
assessee.\n<\/p>\n
9. In the result, t\u00a7\u00a7.E\u00a3%i5\ufb01\u00a2\u20acF\u00a7\u00a7%i%\ufb019n
\nis allowed, hal\u00e9ig\u00e9kghgi \ufb01\u00a7\u00a7\ufb01\u00a7s$a$\u00e9\u00e9\u00e9 is net
\nliable ta pay tax. H1-f  tax paid<\/p>\n
by the*\u00a7\u00e9se\u00a7se\u00a75\u00a7ui$\ufb01ant \u00a36 \u00a7ha Interim mrder,
\ntha ra%p\u00a2n&enE $\ufb01a1iF$@fumd tha Sam within a
\nperi\ufb01d c\u00a7\u00b0&igh\u00a7}w\u00e9\u00a7ksifram ta\ufb01ay.<\/p>\n
S\ufb01\/*-*
\nHEDGE<\/p>\n","protected":false},"excerpt":{"rendered":"
Karnataka High Court Mysore Urban Development … vs State Of Karnataka on 2 December, 2009 Author: K.L.Manjunath And Kumar ‘:;_ ‘\u00e9srig EE\u00a7\u00a7\u00a7’\u00a3 Coma ssmrazm $2-= I E\ufb01 $33 HIQB CGURT 3? KAREA$AKk AE BA\u00a7GALGRE narmn ‘EEIS ‘mm 2″ my 95* ngcmmzn, _2;\u00a3}”f\u20ac3. 9i \u00a7f;V. ?RESENT ‘E31-ER HQIWBLE 1-Q.\u00a73USTE{l’E KA,\u00bbVI5.I~\u00a3\u00a743\u00a7EJ’E}\u00a7<\u00a7\u00a7.fEE3; "V: u \ufb01\ufb01b THE Hozvsm I~\u00a3R.e3US'f\u00a3'I{IE […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,20],"tags":[],"class_list":["post-133570","post","type-post","status-publish","format-standard","hentry","category-high-court","category-karnataka-high-court"],"yoast_head":"\nMysore Urban Development ... vs State Of Karnataka on 2 December, 2009 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/mysore-urban-development-vs-state-of-karnataka-on-2-december-2009\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Mysore Urban Development ... vs State Of Karnataka on 2 December, 2009 - 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