2018 Taxo.online 150

WRIT TAX No. – 751 of 2018 dated 08.05.2018





Central Goods and Service Tax Act 2017


Krishna Murari, Justice & Ashok Kumar, Justice


High Court


Represented by: – 

Petitioner: – Asha Parihar 

Respondent: – C.S.C., Gyan Prakash 

Order: – 

Petitioner is a Company incorporated under the provisions of the Companies Act engaged in the business of construction and development of entertainment facilities including Multiplex theatres in district Meerut. Under the U.P. Entertainments and Betting Tax Act, 1979 (hereinafter referred to as the Act) an scheme was formulated on 3rd September, 2015, which was valid upto 31st March, 2020 permitting the Multiplex owners to collect entertainment tax and to retain 100% of the first year, 75% in the second and third year and 50% in the forth and fifth year. On the basis of the said scheme, the District Magistrate, Meerut vide order dated 24.11.2013 specifically permitted the petitioner to retain the entertainment tax to the above extent so as to enable it to recover the cost of construction of the Multiplex.  

During the subsistence of the above scheme, the C.GS.T. and U.P.G.S.T. Acts have been implemented w.e.f. 01.07.2017 and the Act has been repealed vide Section 174 of U.P. G.S.T. Act with the saving clause that it will not effect any right, privilege, obligation or liability acquired, accrued or incurred under the repealed Act provided the tax exemption granted under the repealed Act by any notification has not been rescinded or revoked by a fresh notification on or after the enforcement of the G.S.T.  

The submission of learned counsel for the petitioner is that in view of Section 174 of the U.P.G.S.T. as there is no notification repealing the benefit conferred upon the petitioner under the scheme of the Act, he is entitle to collect entertainment tax as in the past upto 24.11.2018 and to retain the percentage of it in accordance with the scheme.  

Learned Standing Counsel appearing for the respondents No. 1 and 3 and Sri Vaibhav Tripathi, who has accepted notice on behalf of respondent No.2 are directed to file counter affidavit within one month. Two weeks thereafter are allowed to the petitioner for filing rejoinder affidavit. They would specifically answer if the scheme granting tax benefit to the petitioner is still continuing or stand revoked either automatically or by any fresh notification.  

List this petition for admission/final disposal in July, 2018 along with Writ Petition No. 518 of 2017. 

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