Legal Notes on Important decisions by the Hon’ble High Court/ Supreme Court.

Legal Notes on Important decisions by the
Hon’ble High Court/ Supreme Court.
Sl. No. Issue/Subject
Matter
Reported Court Decisions

Levying tax on TIN
dealers at check gates
Satyam Construction Vrs. STO 2008 (17VST 42(O).
“It has been observed that the VAT is being collected in
different Unified check gates from registered dealers granted with
TIN. Earlier, the Hon’ble High Court in case of Mahamad Habib
Ummar Vs. Sales Tax Officer 99 STC 16(O) and in case of Vinayak
Store Vs. STO 86 STC at page 43 had deprecated the practice of
collection of taxes from the registered dealers at the check gates who
are entitled to file return in their respective sales tax circles. The
Hon’ble Orissa High Court in recent decision in case of Satyam
Construction Vs. STO reported in 2008 (17 VST 42(O) have held that
tax on dealers granted with TIN under OVAT Act at check gates is
illegal. The decision of the Hon’ble Court is to be scrupulously
followed by all concerned.”
2
Blank Declaration
ACTO Vrs. Bajaj Electricals Ltd. (2008) 18 VST (SC).
“It is observed that quite a large number of litigations in
check gates are on submission of blank / unsigned /incomplete
declarations by the transporter of goods. Incomplete documents lead
evasion of tax. In many such cases, Orissa high Court had directed the
concerned Sales Tax officers to allow such blank/ unsigned/