THE HONOURABLE SRI JUSTICE GODA RAGHURAM AND THE HONOURABLE SRI JUSTICE RAMESH RANGANATHAN WRIT PETITION No. 19029 of 2009 Dated: 18-09-2009 Between: M/s Sakthi Masala Private Limited, Chittoor rep. by its Managing Director Sri P.C.Duraiswamy …Petitioner and The Commissioner of Commercial Taxes, A.P., Hyderabad and others. …Respondents ORAL ORDER: (Per GR,J) This writ petition by dealer under the A.P. VAT Act, 2005 (for short ‘the Act’) assails the assessment order for the period from April, 2005 to March, 2006 charging the petitioner to liability to tax on Masala Powders, treating these goods as falling under the residual entry in Schedule V of the Act, on the basis of the Circular instructions of the Commissioner of Commercial Taxes, dated 20-11-2008. These circular instructions of the Commissioner have since been eclipsed by the orders of the State Government in Memo No. 6322/CT.II(1)/2009-1, dated 17-7-2009, being orders issued in exercise of powers under Section 76 (1) of the Act declaring/clarifying that Masala Powders such as Rasam Powder, Sambar Powder, Garam Masala Powder etc., are classified under Entry 59 of Schedule IV of the Act and not under the residual entry. In the light of the clarification issued by the Government in Memo dated 17-7-2009 referred to supra, the impugned assessment order based on the earlier circular of the Commissioner dated 20-11-2008 cannot be sustained to the extent of such clarification. The order of assessment is accordingly set aside and the matter remanded to the assessing authority for assessment de novo, in the light of the clarificatory orders issued by the State Government in Memo dated 17-7-2009. The writ petition is allowed quashing the assessment order based on the earlier circular of the Commissioner dated 20-11-2008 and the matter is remanded to the assessing officer for de novo assessment as directed. There shall be no order as to costs. __________________________ GODA RAGHURAM, J ______________________________ RAMESH RANGANATHAN, J 18th September, 2009 GRR