Kerala HC allowed lower 4% concessional tax rate instead of 6% under KVAT Act

Hi-Lite Projects Pvt. Ltd. Vs State of Kerala (Kerala High Court) Conclusion: Assessee was entitled to avail a lower 4% tax rate under the Kerala Value Added Tax (KVAT) Act instead of the higher 6% rate, imposed along with Penalty as merely because the 8F declarations showed the name of assessee as consignee, the nature of the transactions itself couldn’t be changed to an interstate transaction for the purposes of denying assessee the benefit of the concessional rate of tax under Section 8(a)(ii). Held: In the instant case, assessee -company had opted to pay tax under the compounding sch...