The Sales Tax Appellate Tribunal vs M/S.Raasi Cement Limited
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Telangana High Court

The Sales Tax Appellate Tribunal vs M/S.Raasi Cement Limited on 25 August, 2025

Author: P.Sam Koshy

Bench: P.Sam Koshy

     THE HONOURABLE SRI JUSTICE P.SAM KOSHY
                     AND
           THE HONOURABLE SRI JUSTICE
            SUDDALA CHALAPATHI RAO

                     TREVC No.88 OF 2009

JUDGMENT:

(per Hon'ble Sri Justice P.Sam Koshy)

Heard Mr. T. Chaitanya Kiran, learned Assistant

Government Pleader representing the learned Special Government

Pleader for the State Tax for the petitioner/State and Mr. Tarun

Chadha, learned counsel representing Mr. S.Dwarakanath, learned

counsel for the respondent. Perused the record.

2. The instant tax revision case is by the State assailing the

order dated 31.12.2008 passed by Sales Tax Appellate Tribunal

(STAT), Andhra Pradesh, Hyderabad in T.A.No.582 of 2002.

3. The question of law involved in the instant case is as to

whether the learned STAT was justified in allowing the appeal

preferred by the respondent/assessee so far as the sale of cement

made by the respondent/assessee to the Zilla Parishad Engineering

Division is concerned. The question of law was whether the sale

made to the Zilla Parishad Engineering Division would amount to

sale being made to the State. The said question of law also came

up for consideration in two decisions of the Hon'ble Supreme

Court in the case of HEAVY MAZDOOR UNION vs. STATE

OF BIHAR AND OTHERS 1 and subsequently again in the case

of M/s AJIT SINGH VS. STATE OF PUNJAB 2. In both the

decisions, it has been categorically held by the Hon'ble Supreme

Court that Gram Panchayats would also be treated as a State, as

defined under Article 12 of the Constitution of India. Relying on

the aforesaid two decisions of the Hon'ble Court, this Court

recently in TREVC No.101 of 2009 dismissed a similar tax

revision case preferred by the State Government vide its decision

dated 10.04.2025. The question of law in the instant tax revision

case is also of identical nature.

4. In view of the same, we are inclined to endorse the same

view passed by this Court in TREVC No.101 of 2009, decided on

10.04.2025.

(1969)1 SCC 765

AIR 1967 8556 SC

5. The tax revision case, accordingly, stands dismissed,

upholding the order passed by the Tribunal. There shall be no

order as to costs.

Consequently, miscellaneous petitions pending, if any, shall

stand closed.

_____________________ P.SAM KOSHY, J

_________________________________ SUDDALA CHALAPATHI RAO, J 25.08.2025 Lrkm/Ggd