- (1.) A. P. MISRA, J. Heard learned counsel for the petitioner and also the learned Standing Counsel for the respondents.
(2.) THE petitioner seeks for a writ of mandamus/prohibition restraining the respondents from assessing, levying, imposing or recovering any amount of sales tax on the amount of subsidy given by the Government of India and also restraining respondent No. 3 from imposing any tax on the petitioner on the amount of subsidy for the assessment years 1988-89 to 1993-94, both under the U. P. and Central Sales Tax Act. THE question raised in this petition is squarely covered by the decision of this Court in the case of Civil Misc. Writ petition No. 659 of 1990 [natraj Organics Ltd. v. Assistant Commissioner (Assessment), Soles Tax, Muzaffarnagar] decided on August 30, 1994. THE question raised is whether the subsidy allowed on fertilizer by the Central Government is liable to be included in the "turnover" as defined in section 2 (i) of the U. P. Sales Tax Act, 1948. THE said judgment relied upon two decisions of the Andhra Pradesh High Court reported in Fertiliser Corporation of India Ltd. v. Commercial Tax Officer (OFA), Punjagutta Division, Hyderabad [1991] 8 STC 129 and Coromandel Fertilisers Ltd. v. Commercial Tax Officer (OFA) Punjagutta Division, Hyderabad [1992] 85 STC 552. THE earlier two decisions of the Andhra Pradesh High Court also considered the definition of the word "turnover" a given in section 2 (s) of the Andhra Pradesh General Sales Tax Act 1957. It was also held in the aforesaid Allahabad decision to be substantially in pari materio with the definition of the term as contained in section 2 (i) of the U. P. Sales Tax Act, hence following the said two decisions of the Andhra Pradesh High Court, this Court finally held that the subsidy given by the Government of India could not be covered within the definition of turnover, as defined under section 2 (i) of the U. P. Sales Tax Act. In view of this the writ petition is allowed. Respondent No. 3 is restrained from imposing any tax on the petitioner on the amount of subsidy for the assessment years 1988-89 to 1993-94, both under the U. P. and Central Sales Tax Acts. THE parties are directed to bear their own costs. Petition allowed. .;