The State Of Ap. Rep.By The State ... vs M/S Hindustan Aeronautics Limited, ...
2025 Latest Caselaw 3804 Tel

Telangana High Court

The State Of Ap. Rep.By The State ... vs M/S Hindustan Aeronautics Limited, ... on 11 June, 2025

Author: P.Sam Koshy

Bench: P.Sam Koshy

                              Page 1 of 4



         THE HONOURABLE SRI JUSTICE P.SAM KOSHY

                                AND

  THE HONOURABLE SRI JUSTICE NARSING RAO NANDIKONDA

               Tax Revision Case No.99 of 2009

ORDER :

(per Hon'ble Sri Justice P.SAM KOSHY)

The instant Tax Revision Case has been filed by the

petitioner-State under Section 22(1) read with Rule 10 of the

Andhra Pradesh General Sales Tax Act, 1957 praying the Court

to revise the order dated 31.12.2008 in Tribunal Appeal

No.86/2007 passed by the Sales Tax Appellate Tribunal, Andhra

Pradesh, at Hyderabad, (for short, 'the impugned order').

2. Heard Mr.Swaroop Oorilla, learned Special Government

Pleader for Tax attached to the office of the learned Advocate

General, for the petitioner-State. None for the respondent.

3. The issue involved in the instant Revision is insofar as

levying of sales charge on the overall charges collected by the

respondent for repairing of aircraft belonging to the Indian Air

Force.

4. Learned Special Government Pleader appearing for the

petitioner-State contended that the findings arrived at in passing

the impugned order by the Appellate Tribunal are erroneous

inasmuch as the Appellate Tribunal ought to have considered

the fact that the work executed by the respondent-assessee

insofar as the work of repairing and overhauling of the aircrafts

belonging to the Indian Air Force and the charges collected for

the same would be liable to be taxed under the Andhra Pradesh

General Sales Tax Act, 1957.

5. However, perusal of the record would show that the issue

placed by the petitioner-State in this case has already been

considered and decided by the Hon'ble Supreme Court in the

case of the Hindustan Aeronautics Limited vs. State of

Karnataka 1, wherein the Hon'ble Supreme Court had in very

categorical terms held that aircrafts which were sent to the

assessee only for overhauling and maintenance of the aircrafts

and for the maintenance of aircrafts, the Government undertook

to supply materials; and since there was no transfer of property

being made there was no sale thereof and therefore the turnover

was now exigible for sales tax.

6. Coming to the instant case, by relying upon the said

decision of the Hon'ble Supreme Court the Appellate Tribunal

had reversed the order passed by the Deputy Commissioner,

(1984) 55 S.T.C. 314

Hyderabad (Rural) Division, Hyderabad, dated 07.08.2006,

insofar as imposition of Sales Tax on repairing and overhauling

charges collected by the respondent-assessee is concerned.

7. In the opinion of this Bench, the decision rendered by the

Hon'ble Supreme Court in the case of Hindustan Aeronautics

Limited (1 supra), still holds good. If the said judgment had

been relied upon by the Appellate Tribunal while reaching to the

conclusion arrived by it, the same cannot under any

circumstances be said that the Appellate Tribunal has

committed any error in law or on facts.

8. In the light of given facts and circumstances, particularly

the findings arrived at by the Tribunal by relying upon the

decision rendered by the Hon'ble Supreme Court in the case of

Hindustan Aeronautics Limited (1 supra) under similar facts

and circumstances, we do not find any strong grounds made out

by the learned Special Government Pleader for the petitioner-

State calling for interference to the impugned order passed by

the Appellate Tribunal.

9. Accordingly, the Tax Revision Case being devoid of merit

deserves to be and is accordingly dismissed. No costs.

10. As a consequence, miscellaneous petitions pending if

any, shall stand closed.

__________________ P.SAM KOSHY, J

_________________________________ NARSING RAO NANDIKONDA, J

Date : 11.06.2025 Ndr