- (1.) On the application of the assessee, seeking direction for reference, the following question had been formulated by this Court for consideration vide order dated December 20, 2005: Whether concessional rate of tax under Notification No. S. O. 50/PA. 46/48/S. 5/82, dated December 2, 1982 on the purchase of cotton would be available to the assessee-dealer from December 1, 1979 or from the actual date of establishment of the textile mill ?
(2.) Briefly, the facts as pleaded in the petition, are that the petitioner is a registered dealer under the provisions of the Punjab General Sales Tax Act, 1948 (for short, "the Act"). During the year 1984-85, which was first year of operation of the mill, the petitioner purchased cotton worth Rs. 56,19,013.36 and while filing the return paid purchase tax thereon at two per cent relying on Notification No. S.O. 50/PA-46/48/S. 5/82 dated December 2, 1982.
(3.) The Assessing Authority, during assessment, rejected the claim of the petitioner regarding levy of purchase tax on cotton at two per cent holding that the benefit of Notification dated December 2,1982 was available to the petitioner only till November 30, 1984 and accordingly raised additional demand of tax and interest. Order of the Assessing Authority was upheld in appeal by the Deputy Excise and Taxation Commissioner (Appeals). Further appeal before the Tribunal also failed. This is how the petitioner is before this Court.;