IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM THURSDAY, THE 26TH NOVEMBER 2009 / 5TH AGRAHAYANA 1931 WP(C).No. 32357 of 2009(L) -------------------------- PETITIONER(S): --------------- SRI. MOHAMMED MAJIN.P., S/O. P.HAMSA, PULLATTIL HOUSE KUTTIPPURAM GRAMA PANCHAYAT, MALAPPURAM DISTRICT. BY ADV. SRI.E.P.GOVINDAN RESPONDENT(S): --------------- 1. THE COMMERCIAL TAX OFFICER COMMERCIAL TAXES, TIRUR, MALAPPURAM DISTRICT. 2. THE STATE OF KERALA REPRESENTED BY THE SECRETARY TAXES DEPARTMENT, GOVERNMENT SECRETARIAT TRIVANDRUM. BY GOVT. PLEADER SRI. C.K. GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 26/11/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: shg/ C.K. ABDUL REHIM, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 32357 of 2009 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 26th day of November, 2009 J U D G M E N T 1. Grievance of the petitioner is against Ext.P1 notice issued by the 1st respondent demanding security to the tune of a huge amount of Rs.1 crore, for granting registration under the Kerala Value Added Tax Act, 2003 (KVAT Act). According to the petitioner the demand so made is in violation of Circular No.12/2005 (Ext.P4) which prescribes procedure to be followed with respect to grant of registration to dealers engaged in the business of live chicken. It is also contended that the demand is made is in violation of the provisions contained in Section 17 of the KVAT Act, wherein only 50% of the tax payable for a financial year as estimated by the officer alone can be demanded as security. 2. Learned Government Pleader submits that the Commissioner of Commercial Taxes has recently issued W.P.(C)No. 32357 of 2009 -2- another circular (Circular No.17/2009 dated 13.11.2009) prescribing fresh norms with respect to granting of registration to dealers having business in live chicken. It is further submitted that there is considerable relaxation with respect to the conditions provided therein. 3. In view of the above submission, I am of the opinion that the matter need reconsideration by the 1st respondent in view of the parameters prescribed under the new circular. 4. Hence Ext.P1 notice is hereby quashed, and the 1st respondent is directed to re-consider the application for registration in view of the new circular stated above and to dispose of the same, as early as possible, at any rate within a period of one month from the date of receipt of a copy of this judgment. C.K. ABDUL REHIM JUDGE shg/