Judgment
NJSJ & TCDS, J WP_10229_2008 1
APHC010613042008
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
WRIT PETITION NO: 10229 of 2008 Bench Sr.No:-1 [3543]
Guntur District Milk Producers' Mutually Aided Co-op/ ...Petitioner Vs.
Deputy Commissioner Ct and Others ...Respondent(s)
********** CORAM : SRI JUSTICE NINALA JAYASURYA SRI JUSTICE T.C.D.SEKHAR DATE : 30th July 2026 Present :
Advocate for Petitioner:
MR.
CHALLA VISWANATH REPRESENTING
MR.S.
CHAKRAPANI Advocate(s) for Respondent(s):
GP FOR COMMERCIAL TAX (AP)
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HON’BLE SRI JUSTICE NINALA JAYASURYA
AND
HON’BLE SRI JUSTICE T.C.D. SEKHAR
WP No.10229 OF 2008 ORDER:- (Per Hon’ble Sri Justice T.C.D. Sekhar)
1.
The petitioner is a society registered under AP Cooperative Societies Act, 1964 and subsequently registered under AP Mutually Aided Cooperative Societies Act, 1995. The petitioner is engaged in the business of milk and milk related products, used to purchase the same from unregistered dealers.
2.
The Commercial Tax Officer, Tenali passed Assessment Order dt.21.10.2002 in relation to the assessment year 2000-2001 determining the net turnover of Rs.645 crores and granted exemption on a turnover of Rs.123.17 crores. While so, the 1st respondent initiated proceedings under Section 20 of AP GST Act, 1957 proposing to revise the Assessment Order. In furtherance thereto, notice dt.10.01.2008 was issued to the petitioner proposing to levy tax on purchase value of milk utilized in the process of milk powder, which in turn was dispatched outside the State on consignment basis.
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3.
The petitioner filed objections dt.31.01.2008 contending that the issue, which is subject matter of the revision is pending adjudication before the Sales Tax Appellate Tribunal in TA Nos.849/2005, 942/2003 and 943/2003 in relation to assessment years 1998-1999, 1999-2000 and 2000-2001, as such the proposed revision is without jurisdiction in view of Section 20(2A) of Andhra Pradesh General Sales Tax Act, 1957.
4.
It is further case of the petitioner that, the 1st respondent without dealing with the objection raised by the petitioner proceeded with the revision and accordingly passed revision order 29.03.2008 and thereafter the 2nd respondent passed consequential order dt.23.04.2008, whereunder turn over relating to purchase value of milk which was sent to other States otherwise than by way of sales in the form of milk powder under Section 6-A of the AP GST Act was determined and taxed @ 12%.
5.
Questioning the order in revision and consequential order passed thereon are challenged in the instant writ petition.
6.
Though, various grounds are raised with regard to merits of the matter as well, the counsel for the petitioner would submit that the 1st respondent ought not to have proceeded with
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revision inasmuch as Section 20(2-A) of the Act prohibits the authorities to exercise the power of revision in respect of any issue or question which is the subject matter of an appeal is pending before the Tribunal under Section 21. He would further submit that in view of the pendency of TA Nos.849/2005, 942/2003 and 943/2003 before the Tribunal, the 1st respondent had no jurisdiction to exercise power of revision.
7.
For proper appreciation of the case on hand, section 20 of AP GST Act, 1957 is reproduced hereunder:- “20. Revision by (Commissioner of Commercial Taxes) and other prescribed authorities:- (1) The [Commissioner of Commercial Taxes] may suo motu call for and examine the record of any order passed or proceeding recorded by any authority, officer or person subordinate to it, under the provisions of this Act, including sub section (2) of this section and if such order or proceeding recorded is prejudicial to the interests of revenue, may make such enquiry, or cause such enquiry to be made and subject to the provisions of this Act, may initiate proceedings to revise, modify or set aside such order or proceeding and may pass such order in reference thereto as it thinks fit.
(2) Powers of the nature referred to in sub section (1) may also be exercised by [Additional Commissioner, or the joint Commissioner], [Deputy Commissioner or Assistant Commissioner] and the Commercial Tax Officer in the case of orders passed or proceedings recorded by authorities, officers or persons subordinate to them.
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[(2-A) The power under sub section (1) or sub section (2) shall not be exercised by the authority specified therein in respect of any issue or question which is the subject matter of an appeal before, or which was decided on appeal by, the Appellate Tribunal under Section 21].
(3) In relation to an order of assessment passed under this Act, the powers conferred by sub sections (1) and (2) shall be exercisable only within such period not exceeding four years from the date on which the order was served on the dealer, as may be prescribed.
(4) No order shall be passed under sub section (1) or sub section (2) enhancing any assessment unless an opportunity has been given to the assessee to show cause against the proposed enhancement.
[(5) Where an order passed under this section has been set aside by any Court or other competent authority under this Act for any reason) the period between the date of such order and the date on which it has been so set aside shall be excluded in computing the period of four years specified in sub section (3) for the purpose of making a fresh revision, if any, under this section] (6) Where any proceeding under this section has been deferred on account of any stay order granted by the Special Appellate Tribunal in any case, or by reason of the fact that an appeal or other proceeding is pending before the Special Appellate Tribunal or the Supreme Court involving a question of law having a direct bearing on the order or proceeding in question, the period during which the stay order was in force or such appeal or proceeding was pending shall be excluded in computing the period of four years specified in this section for the purposes of exercising the power under this Section].
8.
A perusal of the above provision of law would make it clear that in relation to any issue, which is decided or pending
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adjudication before the Appellate Tribunal, the power of revision cannot be exercised as there is a specific bar under Section 20 (2-A) of the Act. Admittedly, as on the date of initiation of revision proceedings, the issue which was the subject matter of the revision was pending in TA Nos.849/2005, 942/2003 and 943/2003 before the Appellate Tribunal.
9.
Despite this specific objection raised by the petitioner through its objections dt.31.01.2008, the 1st respondent proceeded with the revision and accordingly passed order dt.29.03.2008, thereafter, the 2nd respondent passed consequential order dt.23.04.2008.
10.
Though, the Government Pleader for Commercial Taxes opposed the writ petition on other grounds, he fairly submitted that in view of the prohibition contained under Section 20(2-A) of the Act, the 1st respondent had no jurisdiction to pass the revision order dt.29.03.2008.
11.
Having regard to the submissions made by the counsel for the petitioner, it is apparent from the record that the issue which was proposed under revision was pending before the
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Tribunal. In view of the bar under Section 20(2-A) of the Act, the 1st respondent has no jurisdiction to exercise the power of revision.
12.
Accordingly, the impugned revision dt.29.03.2008 passed by the 1st respondent and the consequential order dt.23.04.2008 passed by the 2nd respondent are hereby set aside, and the writ petition is allowed. However, this order will not preclude the respondents from initiating further proceedings in the matter, in accordance with law.
There shall be no order as to costs. As a sequel, pending applications, if any shall stand closed.
___________________________ JUSTICE NINALA JAYASURYA
______________________
JUSTICE T.C.D. SEKHAR 30.07.2026 DR
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210 HON’BLE SRI JUSTICE NINALA JAYASURYA AND THE HONOURABLE SRI JUSTICE T.C.D. SEKHAR
WP No.10229 of 2008 Date 30.07.2026
U DR