JUDGEMENT
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(1.)Instant VAT revision petition has been filed by the Revenue challenging the order dated October 20, 2011 passed by the Rajasthan Tax Board, Ajmer in Appeal No. 954/08/Udaipur filed by the Revenue against order dated February 6, 2008 passed by the Deputy Commissioner (Appeals), Commercial Taxes, Udaipur in Appeal No. 80/RST/ET/07-08. The learned counsel for the petitioner submits that the assessment order for the year 2003-04 was passed on March 24, 2007 by which entry tax to the tune of Rs. 1,10,144 was imposed upon purchase of SKO taking it to be purchased in the course of inter-State trade. Assessment order dated March 24, 2007 and rectified assessment-order dated July 10, 2007 were challenged by the respondent-dealer by way of filing appeal under section 82 of the Rajasthan Value Added Tax Act, 2003 and learned Deputy Commissioner (Appeals), Udaipur, allowed the said appeal vide order dated February 6, 2008 whereby the appellate authority set aside the levy of entry tax upon the respondent dealer.
(2.)The Revenue preferred appeal under section 83 of the Act of 2003 before the Rajasthan Tax Board, Ajmer, which rejected the said appeal vide its judgment dated October 20, 2011.
(3.)The learned counsel for the Revenue vehemently argued that a gross error has been committed by the Tax Board in rejecting the appeal because as per provisions of the entry tax there is liability to pay entry tax as soon as the goods are brought within the limits of the local area. Learned counsel for the petitioner further submits that even if it is assumed that goods are imported from outside India the liability to pay entry tax is not diminished as entry tax is not a tax on the sale or purchase of any goods but the same is a compensatory measure for the loss of revenue to the State. Thus, the learned Tax Board has committed an error while not considering the above aspect of the matter, therefore, the order impugned deserves to be quashed.
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