| The Tax Publishers 2020 TaxPub(VAT) 0032 (Trip-HC) : (2020) 095 ITPJ (V) 0773 TRIPURA VALUE ADDED TAX ACT, 2004
Section 43
On issue as to whether refund of amount unauthorisedly deducted as tax under VAT, should be in US Dollars or in Rupees, it was held that petitioner was entitled to take credit of the amount in terms of Memorandum, dated 16-6-2017 and difference in exchange rate in terms of fluctuation in Dollar vis-a-vis Indian Rupee, shall however be made good by ONGC.
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Refund - Manner of refund - Refund whether to be granted in dollers or in Rupees denomination -
Sole issue was as to whether petitioner was entitled to receive the amount unauthorisedly deducted as tax, in currency agreed upon by parties or not. Petitioner challenged Memorandum, dated 16-6-2017 issued by Joint Secretary to the Government of Tripura, Finance Department according administrative approval for a refund of Rs. 1,08,61,531. Only issue was as to whether, refund was to be in US Dollars or Rupees. Held: State directed ONGC to mandatorily carry out deductions and such deductions were carried out by ONGC of its own interpretation of statute. It could have released amount to petitioner. It was out of contractual contract between petitioner and ONGC. Thus, to contend that only currency acceptable by State towards deposit of tax being Indian currency, ONGC had no option but to deposit the tax amount by converting US Dollars to Indian currency at prevailing rates and thus ONGC had no role in the collection and deposit of the tax, was not correct. Petitioner was entitled to take credit of the amount in terms of Memorandum, dated 16-6-2017 and difference in exchange rate in terms of fluctuation in Dollar vis-a-vis Indian Rupee, shall however be made good by ONGC. This also had to be in US Dollars, and rate prevalent as on date of payment.
REFERRED : Meenakshi Saxena & Anr. v. ECGC Ltd. (Formerly known as Export Credit Guarantee Corporation of India Ltd.) & Anr. [Civil Appeal No.5681/2018 (Arising out of SLP (C) No. 6286 of 2017), dt. 18-5-2018] Forasol v. Oil & Natural Gas Commission (ONGC) 1984 (Supp) SCC 263 Newsco International Energy Services Inc. v. State of Tripura & Ors. (2016) 91 VST 145 (Tri) The State of Tripura & Ors. v. M/s. IOT Infrastructure & Energy Services Limited & Anr. [CIVIL APPEAL NO(S). 1499/2017, 1452/2017, 1365/2017, 1454/2017, 1041/2017 (Arising out of SLP(C) No. 1106/2016, 1107/2016, 1105/2016, 27299/2016), dt. 1-2-2017]
FAVOUR : In petitioner's favour
A.Y. :
IN THE TRIPURA HIGH COURT
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