The orders of the High Court in the impugned appeals are to be set aside on the sole ground that the respondents after paying octroi duty have passed on the burden to the consumers and collected from the customers on the side cloth purchased and sold by them. Therefore, the order of refund would be an unjust enrichment for them. This Court has repeatedly held that such a refund should not be ordered. In that view of the matter without expressing any opinion on the merits during the interregnum the Gram Panchayat was entitled to collect the octroi since the respondents are not entitled to the refund of the amount which is already collected and passed on the burden to the consumers, these appeals are to be allowed. The appeals are accordingly allowed and the writ petitions in the High Court stand dismissed.
State Of Rajasthan And Others v. Novelty Store And Others
State Of Rajasthan And Others v. Novelty Store And Others
(Supreme Court Of India)
Civil Appeal No. 5043 Of 1984 | 13-12-1994
Advocate List
Bench
- HON'BLE JUSTICE K. RAMASWAMY
- HON'BLE JUSTICE N. VENKATACHALA
Eq Citations
- AIR 1995 SC 1132
- (1998) 9 SCC 570
- JT 1998 (8) SC 405
- LQ/SC/1994/1204
Head Note
Excise — Octroi — Refund of octroi — Entitlement to — Held, respondents after paying octroi duty have passed on the burden to the consumers and collected from the customers on the side cloth purchased and sold by them — Therefore, order of refund would be an unjust enrichment for them — This Court has repeatedly held that such a refund should not be ordered — In that view of the matter without expressing any opinion on the merits during the interregnum the Gram Panchayat was entitled to collect the octroi since the respondents are not entitled to the refund of the amount which is already collected and passed on the burden to the consumers — Constitution of India, Art. 226
