M/S Steer Engineering Private Limited vs. The State Of Karnataka
Held
The Court held that the claim of ITC cannot be restricted to the tax period in which the output tax is computed and assessed. Machinery provisions cannot override substantive provisions allowing ITC.
Facts
The petitioner sought to declare the proviso to Section 10(3) of the KVAT Act, 2003, as illegal. The core issue was the restriction on claiming Input Tax Credit (ITC) for the tax period in which output tax was computed.
Key Issues
Whether the claim of Input Tax Credit can be restricted to the tax period in which output tax is computed and assessed, and if machinery provisions can override substantive provisions regarding ITC.
Sections Cited
Section 10(3), Section 35
AI-generated summary — verify with the full judgment below
1/13 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 30th DAY OF JANUARY, 2018 BEFORE THE HON’BLE Dr.JUSTICE VINEET KOTHARI WRIT PETITION No.58836/2016 (T-RES)
BETWEEN:
M/s. Steer Engineering Private Limited Represented by its Director Shri. Sathish Padmanabhan No.290, 4th Main, 4th Phase, Peenya Industrial Estate Bangalore-560 058. ... Petitioner
(By Sri K.N.Arvinda Navada, Advocate)
AND:
The State of Karnataka Through its the Principal Secretary Finance Department Vidhana Soudha Dr. B.R.Ambedkar Road, Bangalore-560 001. 2. The Assistant Commissioner of Commercial Taxes LVO-75, DVO-6, ‘B’ Block, KIADB Building, 14th Cross, Peenya Industrial Area Bangalore-560 058. ... Respondents (By Sri T.K. Vedamurthy, AGA)
This Writ Petition is filed under Articles 226 and 227 of the Constitution of India praying to declare that the proviso to
Date of order: 30-01-2018 in WP No.58836/2016 M/s. Steer Engineering Private Limited. vs. The State of Karnataka & anr.
2/13
Section 10(3) of the KVAT Act, 2003 inserted by
The judgment continues below.
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