Back
N. S. SANJAY GOWDA
Southern Ferro Ltd. – Appellant
Versus
State Of Karnataka, Rep. By Its Secretary To Government, Department Of Energy, Vikas Soudha, Dr. Ambedkar Road, Bengaluru – Respondent
ORDER :
1. A demand to pay a sum of Rs. 94,47,534/being a demand for payment of tax on electricity consumed by the petitioner is a subject matter of this writ petition.
2. Petitioner contends that apart from electricity supplied by the licensee i.e., Hubli Electricity Supply Company Limited (hereinafter referred to as ‘HESCOM’, for short), it is also supplying energy from the energy exchange every month which is called as purchase of electricity from Open Access Source. Petitioner contends that the price paid for purchase of electricity through Open Access Source is different than the price paid by it for the electricity sold to it by the licensee – HESCOM. Petitioner admits that it is liable to pay tax on the electricity consumed by it whether it is purchased from the HESCOM or purchased from Open Access Source. Petitioner, however, contends that the electricity tax i.e., to be paid should be levied on the price at which it purchases, be it from the licensee or from the Open Access Source.
3. It is stated that for the electricity purchased from HESCOM, it is liable to pay tax at the rate of 6% on the procurement price. It is stated that similarly in respect of electricity purchased f
Tax cannot be imposed on electricity supplied but not consumed as it does not equate to sale, violating legislative competence under Entry No. 53, List II of the Seventh Schedule.
Even bare consumption of electricity energy by a person who generates the same is permissible to be taxed by reference to Entry 53 of the State List.
(1) When a right is created by a statute which itself prescribes remedy or procedure for enforcing right or liability, resort must be had to that particular statutory remedy before invoking discretio....
The court upheld the increased electricity duty as legal, distinguishing between tariff and duty, affirming legislative competence for revenue augmentation while rejecting claims of discrimination un....
The judgment established the importance of understanding exemption provisions, interpreting government orders, and adhering to the procedure for assessment and appeal under the relevant electricity t....
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
