THE HON’BLE SRI JUSTICE V.V.S. RAO AND THE HON’BLE SRI JUSTICE RAMESH RANGANATHAN T.REV.C.No.240 of 2010 Dated:23.08.2010 Between: M/s. Liquors India Limited, Plot No.8-120, IDA, Nacharam, Hyderabad, rep., by its Managing Director, Mr. BH. Ajeyakumar .. Petitioner And State of Andhra Pradesh, rep., by its State Representative, before Sales Tax Appellate Tribunal, Andhra Pradesh, Hyderabad .. Respondent THE HON’BLE SRI JUSTICE V.V.S. RAO AND THE HON’BLE SRI JUSTICE RAMESH RANGANATHAN T.REV.C.No.240 of 2010 ORDER: (per Hon’ble Sri Justice V.V.S.Rao) M/s. Liquors India Limited, Hyderabad, is a company registered as a dealer on the rolls of the Commercial Tax Officer, Panjagutta Circle, Hyderabad under the Andhra Pradesh General Sales Tax Act, 1957 (the Act) for the assessment year 2003-04. The assessment was completed by proceedings dated 03.01.2006 determining the net turnover of Rs.1,94,18,544/- duly exempting the turnover of Rs,105,46,22,990/- out of the total turnover of Rs.107,40,41,534/-. On 31.05.2006, the Jurisdictional Deputy Commissioner (CT), Panjagutta Division, exercising power under Section 20(2) of the Act issued a Revisional Show Cause Notice (RSCN) proposing to levy tax on additional turnover of Rs.1,28,14,975/- at 12%. The petitioner objected the same. Its contention was that the company got export benefit of Rs.2,25,46,322/-, that an amount of Rs.92,25,884/- towards sale of DEPB licences was already assessed at 4% under the Central Sales Tax Act, 1956 (CST) and that the duty draw back amount on the exports is not taxable. The objection was overruled by order dated 21.10.2008. The Revisional Deputy Commissioner determined the additional taxable turnover at the above mentioned amount. The appeal filed by the petitioner was remanded by Sales Tax Appellate Tribunal observing that the amount of Rs.15,37,401/- deserves to be deducted. It was noticed by the learned Tribunal that an amount of Rs.1,28,14,975/- is the amount related to duty drawback amount. Aggrieved by the same, the assessee filed this appeal. The matter was heard by us on 13.07.2010. It is brought to the notice of this Court by the learned counsel for the assessee that though the petitioner claimed the entire amount towards duty drawback being Rs.1,28,14,975/-, by mistake it was mentioned as Rs.15,37,401/- , in relation to which, the assessee seeks exemption of taxability. We, therefore, issued notice to the Special Standing Counsel for Commercial Taxes to get instructions in the matter. Today we heard the matter again. Perused the assessment order, revisional order and the order of the learned Tribunal. A perusal of the impugned order would show that the revisional authority taxed an amount of Rs.1,28,14,975/- is the duty drawback amount belonging to the assessee, as well as export benefit provision made in the balance sheet. If that be so, subject to producing necessary evidence in support of their claim, they are certainly entitled to seek exemption of the duty drawback amount, which cannot be treated as turnover. To that extent, there is no serious dispute. Therefore, we are inclined to modify the impugned order. Accordingly, the Tax Revision Case stands disposed of observing that the Commercial Tax Officer, Panjagutta, (the assessing officer) may consider the evidence to be produced by the petitioner insofar as his claim in relation to duty drawback amount is concerned. Needless to mention that if it is shown by producing details of the cheques received by the petitioner company that the duty drawback amount is Rs.1,28,14,975/-, the said amount has to be excluded from the taxable turnover. There shall be no order as to costs. _____________ V.V.S. RAO, J ____________________________ RAMESH RANGANATHAN, J 23.08.2010 KH