IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE EIGHTEENTH DAY OF NOVEMBER TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MR JUSTICE GHULAM MOHAMMED and THE HON'BLE MR JUSTICE B.SESHASAYANA REDDY WRIT PETITION No.25274 of 2008 Between: V.Venkateswara Rao S/o. Gangadhara Rao, Shop No.21 IGMS Complex Labbipet,Vijayawada-520010 ..... PETITIONER AND 1 The Government of Andhra Pradesh Rep.by its Principal Secretary Finance(Works& Projects) Department Secretariat Buildings Hyderabad 2 Engineer-In Chief(R&B) Roads Erramanzil,Hyderabad 3 Engineer-In Chief(R&B) Admn & NH Erramanzil,Hyderabad 4 Chief Engineer(R&B) Hudco Erramanzil,Hyderabad 5 Chief Engineer(R&B) (NABARD) Erramanzil,Hyderabad 6 The Superintendent Engineer(R&B) Circle Vijayawada, Krishna District 7 The Superintendent Engineer(R&B) Circle Nalgonda, Nalgonda District 8 The Executive Engineer(R&B) Vijayawada,Krishna District 9 The Executive Engineer(R&B) Machilipatnam,Krishna 10 The Executive Engineer(R&B) Miryalguda,Nalgonda District 11 The Pay and Accounts Officer(W&P) Vijayawada Krishna District 12 The Assistant Pay and Accounts Officer (W&P) Hill Colony Naqarjunsar,Nalgonda District 13 The Commercial Tax Officer Krishnalanka,Vijayawada .....RESPONDENTS Petition under Article 226 of the constitution of India praying that in the circumstances stated in the Affidavit filed herein the High Court will be pleased to issue an appropriate writ order or direction more particularly one in the nature of writ of Mandamus declaring that (I) the Memo No.602/F8(1)/2006 dt 14-3-2007 issued by the 1st respondent is arbitrary, illegal, invalid contrary to the provisions of the A.P Value added Tax Act Rules made there under G.O Ms No's 11 Dt 29-07-2005 and 141 dt 27-07-2006 and unsustainable (2) The Petitioner is entitled for addition of VAT Component of 4% on the entire value of work done in terms of the provisions of the G.O.Ms No.11 dt 29-07-2005 dt 27-07- 2006 and section 22(3) of the A.P VAT act, (3) Declaring the action of the respondents 2to 12 in adding lesser than 4% at the time of payment of each bill as arbitrary illegal and contrary to the provisions of the A.P Added Tax and the Government orders in force as well as the terms of the agreement and (4) consequently direct the respondents 2to 12 to pay the difference 2.6% amount on total value of the work relating to the road works and 1.2% on the bridge works to the petitioner and (5) to pass such other order or orders Counsel for the Petitioner: MR.P.GIRISH KUMAR Counsel for the Respondent Nos.1,10&11: GP FOR FINANCE Counsel for the Respondent Nos.2 to 9: GP FOR ROADS & BUILDINGS Counsel for the Respondent No.13: GP FOR COMMERCIAL TAX The Court made the following : THE HON'BLE MR JUSTICE GHULAM MOHAMMED and THE HON'BLE MR JUSTICE B.SESHASAYANA REDDY WRIT PETITION No.25274 of 2008 ORDER: (per the Hon'ble Sri Justice Ghulam Mohammed) Heard both sides. At their request, the Writ Petition itself is taken up for disposal at the stage of admission. At the time of hearing, the learned counsel on either side submitted that the issue raised in this writ petition is squarely covered by the Judgment of a Division Bench of this Court in W.P. No. 484 of 2008 dated 18.01.2008. However, learned Special Standing Counsel for Commercial Taxes submitted that though the petitioner states that it has paid 4% tax on the entire work done, it has to be ascertained while processing the final bill. Following the ratio laid down in the above referred judgment, the Writ Petition is, accordingly, allowed with a direction to the respondents not to remit any further amount in respect of deductions already made pursuant to the Memo dated 14.03.2007 of the first respondent, while processing the final bill, however, subject to the payment of 4% which is stated to have been made by the petitioner. It is needless to mention, as agreed by the counsel on either side, that the balance of 2.6% has to be added by the respondents in the bills. GHULAM MOHAMMED, J B.SESHASAYANA REDDY, J Date: 18.11.2008 va