Indian Made Foreign Liquor not included in Reversed Entry Act of 2007: Allahabad HC set aside Entry Tax Demand [Read Order]

The Allahabad High Court (HC) set aside the entry tax demand on Indian Made Foreign Liquor since it was not included in reversed Entry Act of 2007.

Sri Bharat Raichandani along with Harshul Bhatnagar appeared on behalf of the petitioner, M/S United Spirits Limited and Vineet Pandey along with Rishi Kumar appeared on behalf of the respondent.

Shri Vineet Pandey objected to the maintainability of the writ petition and submitted that against the order, there is an alternative remedy of a second appeal before the Commercial Tax Tribunal, Bareilly, where the jurisdiction lies to the petitioner.

The issue was of jurisdiction as under Entry Tax Act, 2000 in the schedule Indian-made foreign liquor, where it is mentioned. Thereafter, the act was reintroduced by Act No. 30 of 2007 Uttar Pradesh Tax on Entry of Goods into Local Areas Act, 2007.

Justice Piyush Agrawalobserved that in the schedule of items, Indian-made foreign liquor was not mentioned and therefore, proceedings initiated against the petitioner are without jurisdiction.The court directed the respondent to file a counter affidavit within four weeks.

“Till the next date of listing, no coercive action shall be taken against the petitioner provided petitioner furnishes surety other than cash or bank guarantee to the satisfaction of Assessing Authority.”, the Court held.

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