Case Law Details
Nola Ram Dulichand Dal Mills Vs Union of India & Ors. (Supreme Court of India)
The appellant challenged the change in the Policy ‘Vishesh Krishi Upaj Yojna‘ wherein 100% export units were denied the benefit of exemption on the ground that the policy binds the respondents for a period of five years and that such policy is discriminatory as direct tariff areas were excluded. The High Court held as under:
“After hearing the counsel for the petitioners, we do not find any illegality in the impugned Notification dated 7.4.2006 (Annexure P-7) as by the said Notification the Government has taken a policy decision to withdraw the aforesaid benefit as the Export Oriented Units enjoy special status for tax exemptions and permission to source various requirements including the one in agricultural sector, duty free. They also enjoy income tax benefits and have been set up primarily for exports, therefore, they cannot be treated at par with DTA Units which do not enjoy all these benefits. Therefore, the benefit under the said Policy has not been extended to Special Economic Zone Units and Export Oriented Units.”
We do not find any error in the findings recorded. Accordingly, the appeals are dismissed.
FULL TEXT OF THE SUPREME COURT JUDGEMENT
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