- (1.) The petitioner complains of the requirement by the State to deposit entry tax for the petitioner generating way -bills for bringing in goods from outside the State on behalf of the petitioner's clients. The petitioner is engaged in the courier business. Rule 110C of the West Bengal Value Added Tax Rules, 2005 permits unregistered dealers, casual dealers and persons other than dealers to generate way -bills electronically, subject to certain conditions. The petitioner says that one of the conditions for the petitioner, as a courier company, to generate its own way -bills by electronic means is to deposit the entry tax on the goods. The petitioners says that since the provisions pertaining to entry tax have been struck down by a Single Bench of this court and the order has not been stayed in appeal, the State has no authority to insist on payment of entry tax in any manner or form.
(2.) The State says that the facility extended to courier companies and the like under Rule 110C is a privilege and cannot be regarded as a right. The State asserts that it will not be possible for the State to realise the entry tax, if it is ultimately found that the relevant statute or the concerned provisions are intra vires the Constitution. The State says that though the appeal is pending, since matters of like nature from other States have reached the Supreme Court, the State has applied to intervene in the proceedings before the Supreme Court so that the propriety of entry tax can be decided at the highest level.
(3.) Whether or not Rule 110C of the said Rules is a privilege, as long as such Rule exists it is not open to the State to insist on the payment of entry tax for obtaining the benefit under such Rule despite the provisions as to entry tax being struck down. As a consequence, the petitioner will be entitled to generate way -bills in terms of the said Rule without payment of any entry tax and if the programme or the system has to be altered for such purpose, the State is directed to do so immediately such that no inconvenience is occasioned to the petitioner in the electronic generation of way -bills without payment of entry tax.;