- (1.) This order shall dispose of Civil Writ Petition Nos.21083 and 21127 of 2011 as learned counsel for the parties are agreed that similar facts are involved in both the cases. However, the facts are being extracted from CWP No.21083 of 2011 which may be briefly noticed.
(2.) The petitioner, a State of Punjab owned statutory body, had been formed under a special enactment promulgated by the State of Punjab under the provisions of Section 5 of the Electricity (Supply) Act, 1948 to arrange for the supply of electrical energy that may be required within the State. During the period under reference i.e. 2006-07, the electrical energy being generated from hydel resources as well as thermal power plants was being distributed to different types of consumers i.e. urban and rural population, industrial and agriculture sectors etc. The function of the Board commenced from the Power House where electric energy was generated and therefrom it was distributed to the consumers through its installations like poles, cables and other equipments and finally from the pole through cable known as Service line and electric energy consumption recording device known as Electric meter. The electric meter may be owned by the consumer himself. In case the meter was not owned by the consumer then the device owned by the Board was installed and such meter continued to remain the property of the Board. The consumer had no access to the meter in either case. The Board had been charging some amount from energy consumer with respect to the device owned by the Board as fixed by the competent State Regulatory authority. The petitioner registered as a taxable person had been filing the returns as prescribed and whatever tax was payable in terms of section 15 of the Punjab Value Added Tax Act, 2005 (in short, "the Act") was being deposited before filing the returns. Returns for the period from 1.4.2006 to 31.3.2007 under the Act alongwith requisite information in prescribed form had been filed with the authority having jurisdiction over the petitioner. Thereafter, annual statement in Form VAT-20 had also been filed before the last date i.e. 20.11.2008 as prescribed under Section 26 of the Act and Rule 40(1) of the Punjab Value Added Tax Rules, 2005. The Assessing authority initiated assessment proceedings for the year 2006-07 by issuing notice under Section 29 of the Act on 24.3.2011. During assessment proceedings, the petitioner filed detailed written submissions, Annexure P.3 wherein various objections were taken with regard to levy of tax on meter rental. The Assessing authority issued notice dated 14.7.2011, Annexure P.4 to the petitioner for imposition of penalty to the tune of Rs. 13,70,96,766/- The assessment was framed under the Act vide order dated 29.8.2011, Annexure P.6. Consequently, additions of Rs.35,61,03,013/- were made by the Assessing authority under different heads. Aggrieved thereby, the present petitions have been filed.
(3.) Challenge is to the assessment order dated 29.8.2011, Annexure P.6 passed by respondent No.2 the Excise and Taxation Officer-cum-Designated Officer for the year 2006-07 whereby tax has been levied on meter rent charged by the petitioner holding that there had been consideration for the transfer of right to use the goods. The order has also been challenged being barred by limitation under Section 29(4) of the Act.;