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 Understanding VAT refunds

SC to examine plea on VAT provisions
February, 08th 2010

The Supreme Court has decided to examine the plea of Punjab government pertaining to the provision of its VAT law which according to the government provides no exemption to the assessees from the mandatory deposit of 25% of the tax, penalty and interest for entertaining their appeal by the appellate authority.

It appears that the high court did not considered the provision of section 62(5) of Punjab Value Added Tax Act, 2005, said a bench comprising Justice SH Kapadia and Justice Swatanter Kumar while issuing notice to Femina Jewellery Pvt Ltd.

The high court allowing the writ petition of Femina had directed that the appeal of the petitioner shall be entertained by the appellate authority without pre-deposit of 25% of the amount assessed by the authority.

 
 
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