IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) FRIDAY, THE EIGHTEENTH DAY OF JULY TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MRS JUSTICE T.MEENA KUMARI AND THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION NO : 15429 of 2008 Between: M/s. K. Linga Reddy No.2-2-1105/13, Tilak Nagar, Amberpet, Hyderabad-500036. Rep. by is Proprietor, K. Linga Reddy, S/o. K. Raja Reddy ..... PETITIONER AND 1 The Joint Commissioner (CT) (Legal) (FAC), Office of the Commissioner of Commercial Taxes, Nampally St. Road, Opp. Gandhi Bhavan, Hyderabad, Andhra Pradesh. 2 The Appellate Deputy Commissioner (CT) Secunderabad Division, O/o. The Commissioner of Commercial Taxes, Nampally St. Road, Opp. Gandhi Bhavan, Hyderabad, Andhra Pradesh. 3 The Commercial Tax Officer, Vidyanagar Circle, Mayur Kushal Complex, Abids, Hyderabad. .....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 or direction more particularly one in the nature of writ of mandamus declaring the impugned order dated 24.06.2008 passed by the 1st respondent in CCT's Ref.No.L-V(1)/390/2008 for the assessment year 2002- 2003 (APGST) as illegal, unjustified and contrary to the provisions of law and pass Counsel for the Petitioner: MR.B.SRINIVAS Counsel for the Respondent No.: GP FOR COMMERCIAL TAX The Court made the following : ORAL ORDER: (per THE HON’BLE MRS. JUSTICE T.MEENA KUMARI) Seeking a writ of mandamus declaring order dated 24.06.2008 passed by the first respondent rejecting to stay collection of the disputed tax of Rs.6,95,297/- as illegal, arbitrary and contrary to the provisions of the A.P.G.S.T. Act, 1957 and consequently direct the respondent not to collect the disputed tax for the year 2002-03, pending appeal before the Appellate Tribunal, the petitioner filed this writ petition. The petitioner is a proprietary concern engaged in the business of execution of works contract and is an assessee on the rolls of the third respondent. The third respondent, has completed the assessment for the year 2002-2003 on 26.11.2007 and without considering the nature of works contract executed by the petitioner, passed an assessment order, treating the works contract executing for Railways, as sale of goods, which was appealed against by the petitioner before the second respondent, who also dismissed the appeal confirming the order passed by the third respondent. Aggrieved thereby, the petitioner preferred an appeal before the Sales Tax Appellate Tribunal and also moved stay petition, before the first respondent, which was rejected by the first respondent, vide the order impugned herein. Hence, this writ petition. It is submitted by the learned counsel for the petitioner that though several contentions were raised before the first respondent, the first respondent has refused to grant stay vide the order impugned herein. It is submitted that pursuant to the rejection of stay by the first respondent, the third respondent is contemplating to take coercive steps for recovery of the disputed tax. Heard the learned counsel for the petitioner and the learned Special Standing Counsel for Commercial Taxes. In the facts and circumstances of the case, we are of the opinion that the writ petition can be disposed of at the stage of admission directing the petitioner to deposit half of the demanded tax amount, as per the impugned order, within a period of six weeks from today and the respondents are directed not to take coercive step for recovery of the tax, pending finalisation of the appeal by the Appellate Authority. It is made clear that the amount paid, if any, shall be given credit to the above stipulated sum. With these directions, the writ petition is disposed of. No order as to costs. ____________________ Justice T.Meena Kumari _______________________ Justice Ramesh Ranganathan July 18, 2008 MAS ..... REGISTRAR // TRUE COPY // SECTION OFFICER To 1.2CCs to 2.2CD copies Form-NIC-OGS/WP{MSN}