ORAL ORDER

(PER: HON'BLE MR JUSTICE KRISHNA S DIXIT)

Revenue is invoking the revisional jurisdiction of this court u/s.65(1) Karnataka Value Added Tax Act , 2003 for assailing Appellate Tribunal’s order dated 24.03.2021 whereby Respondent-Assessee’s Appeal in STA No.194/2019 having been favoured, in effect, he has been entitled to input tax credit; further the levy of interest and imposition of penalty have been set at naught.

II. BRIEF FACT MATRIX OF THE CASE:

(1) Assessee is a registered dealer under 2003 Act. He is engaged in the manufacture & sale of inter alia wood cutting machines and such other instruments that are employed in furniture industries. He had filed a Self Assessment Return u/s.38 of the 2003 Act for the Assessment Year 2011-12. The Assessing Authority having undertaken re-assessment u/s.39(1), rejected his claim for Input Tax Credit vide order dated 01.03.2018 on the ground that his selling dealers had not filed their returns nor discharged their output tax liability by remitting the tax amount to the department.

(2) Assessee took the matter in appeal in VAT.AP No.205/17-18 u/s.62(6) of the Act and the First Appellate Authority vide order dated 24.04.2019 dismissed