No Need To Show Sales Tax Clearance Certificate To Excise Dept: AHAR

EH&C Staff - Mumbai

As per a Mumbai High Court order, production of the Sales Tax Clearance Certificate to the excise department for renewal of the permit room license is not necessary, says A B Shetty, president of Indian Hotel and Restaurant Association (AHAR).

AHAR had filed a writ petition in the Mumbai High Court against the order of the excise commissioner for producing Sales Tax Clearance Certificate by permit room holders. Since the sales tax and excise departments are different, the excise commissioner has no authority to demand Sales Tax Clearance Certificate, said the petition. The Nagpur Bench of Mumbai High Court upheld the contention and directed the excise department not to demand the certificate from permit room holders. The excise department may get such information directly from the sales tax department.

Meanwhile, the association’s other effort against the hike in the liquor licence fee has borne fruit with the Maharashtra government coming through on its promise to reduce the fee by 50 per cent.