- (1.) Heard Sri Bharat Ji Agarwal, senior advocate, assisted by Sri Piyush Agarwal, learned counsel for the applicant and Sri Sanjeev Sankhdhar, learned counsel for the opposite party. Through the instant revision under section 58 of the U.P. Value Added Tax Act, 2008, the applicant has assailed the order dated July 26, 2006 passed by the Commissioner, Trade Tax, U.P., Lucknow, and the order dated June 9, 2011 passed by the Commercial Tax Tribunal, Lucknow.
(2.) Brief facts, giving rise to the instant revision, are that the applicant-Shree Agro Polyform Pvt. Ltd., is engaged in manufacturing twisted iron bars (saria). On completing all formalities, the applicant applied for exemption from payment of tax as provided under section 4A of the U.P. Trade Tax Act, 1948 (hereinafter referred to as, "the Act"). The eligibility certificate was granted to the applicant for five years from the date of first sale, i.e., from March 24, 1990. Thereafter, the applicant was selling its product and was filing its return and assessments were being made thereon.
(3.) A proceeding under section 4A(3) of the Act was initiated against the applicant on the basis of survey, whereby it has been alleged that the factory was closed for more than six months at a stretch and as such, a notice was issued to the applicant. On receipt of notice, the applicant tendered his reply, stating therein that the factory was never closed for more than six months at a stretch and further at the time of survey, neither any statement was made by the watchman that the factory was closed for more than two months nor read out to the watchman. He submits that an affidavit of the watchman was also filed, wherein it has been stated due to rains, factory was closed for 2-3 days and the watchman has never given the statement that the unit was closed for more than 2-3 months. The Commissioner, Trade Tax, U.P., Lucknow, vide order dated July 11, 1997, cancelled the eligibility certificate with effect from March 24, 1990, i.e., from the date of inception of the period of exemption.;