JUDGMENT

S.B. Sinha, J. —

1. Leave granted.

2. First respondent is a dealer in bullion gold. It entered into transactions of purchase of gold from the appellant herein during the period 6th April, 1999 and 10th December, 1999. The total transactions during the said period were for a sum of Rs.423748518/-. Indisputably the rate of tax which was prevailing at the relevant time was 1%. The amount of sales tax at the said rate was collected from respondent No.1. The amount so collected, indisputably had been deposited with the sales tax authorities.

3. On or about 27th December, 1999 vide S.R.O. No.1075/99 the rate of sales tax was reduced from 1% to 0.5% which was given a retrospective effect from 1st of April, 1999. The said Notification reads thus :-

“9 Any dealer Sale of bullion and specie to registered dealer within the State.

This notification shall be deemed to have come into force on first day of April, 1999"

It was given a retrospective effect.

4. The original SRO 1728/93 on the subject provided that “tax if any collected at the higher rate, shall be paid over to Government and tax if any paid over to Government shall not be refunded”. Clause 9 of Schedule IV of SRO