Telecom District Manager Bharat Sanchar Nigam LTD. vs. State Of Odisha

Held

The Court decided to remand the matters to the Assessing Authority for a fresh assessment proceeding for the tax period in question. This decision was made in consideration of the Supreme Court's judgments in Bharat Sanchar Nigam Limited v. Union of India (2006) 3 SCC 1, Bharat Sanchar Nigam Ltd. v. Commissioner of Sales Tax, Cuttack (decision dated 25th July, 2013 in Civil Appeal No.2048 of 2008), State of U.P. v. Union of India (2003) 2 SCC 239, and this Court's order dated 27th June, 2019 in W.P.(C) No.17754 of 2014, along with the order dated 31st March 2021 passed by the Joint Commissioner, CT & CGST, Bhubaneswar Circle. The Court explicitly stated it was not expressing any view on the merits of the case. The ratio decidendi is that when relevant judicial and administrative pronouncements exist, a fresh assessment by the Assessing Authority, allowing parties to urge all contentions, is appropriate. The impugned order of the Tribunal and the corresponding assessment order of the Sales Tax Officer were set aside. The Assessing Authority was directed to place the matters before it on February 7, 2022, for directions and to pass fresh assessment orders within four months thereafter. The parties were directed to cooperate.

Facts

The petitioner, Telecom District Manager, Bharat Sanchar Nigam Limited, Bolangir, filed multiple revision petitions (STREV Nos. 91, 92, 93, 94 of 2019, and STREV No. 78 of 2014) against the State of Odisha. The matters were taken up for disposal. The petitioner relied on a compilation of orders, including a recent order dated March 31, 2021, passed by the Joint Commissioner, CT & CGST, Bhubaneswar Circle. The Court perused decisions of the Supreme Court and a previous order of the High Court.

Key Issues

1. Whether the Assessing Authority should conduct a fresh assessment proceeding for the tax period in question, considering the Supreme Court's decisions in Bharat Sanchar Nigam Limited v. Union of India (2006) 3 SCC 1, Bharat Sanchar Nigam Ltd. v. Commissioner of Sales Tax, Cuttack (decision dated 25th July, 2013 in Civil Appeal No.2048 of 2008), State of U.P. v. Union of India (2003) 2 SCC 239, and this Court's order dated 27th June, 2019 in W.P.(C) No.17754 of 2014, as well as the order dated 31st March 2021 passed by the Joint Commissioner, CT & CGST, Bhubaneswar Circle. Petitioner's Contention: The petitioner argued that the aforementioned judicial pronouncements and administrative orders provide a basis for a fresh assessment. They submitted a compilation of these orders, including the recent order from the Joint Commissioner. Revenue's Contention: The judgment does not record any specific arguments made by the State of Odisha.