Rule 17(4) of the APVAT Act Rules, 2017 (‘the Rules’, for brevity), prescribes the procedure enabling dealers, who are constructing apartments as builders and developers, to opt for composition of tax. Sub-rule 4(a) of the Rules stipulates that where a dealer executes a contract for construction and selling of residential apartments, houses, buildings, or commercial complexes, and opts to pay tax by way of composition under clause (d) of Sub-section (7) of Section 4 of the Act, he must register himself as a VAT dealer. Sub-clause 4(b) of Section 4 of the Act stipulates that before the commencement of the execution of the work, the VAT dealer shall notify the prescribed authority, on Form VAT 250, of his intention to avail composition for all works specified in clause (a) above, undertaken by him. As stated supra, the project was initially developed by M/s. Sri Chakra Eden Greens, Tirupathi, who is a registered dealer under the APVAT Act, and is an assessee on the rolls of the first respondent. The petitioner understands and believes that the said firm has opted for payment of tax under composition for the construction of all the 140 flats proposed to be built in Blocks 1 to 4. However, after completing Block 2 of 35 flats, the said firm expressed its inability to construct the balance flats and thereupon, the petitioner had stepped into the shoes of the said firm as a developer. It is not a new project, which has been developed by the petitioner company. It is only an ongoing work, which was left out by the original developer. As stated above, Rule 17(4)(b) of the Rules stipulates that the application for composition of tax in Form VAT 250 has to be applied by the said dealer before the commencement of the work. When the first developer has opted for composition, it is not open to the second developer, who has stepped into the shoes of the first developer, to file form VAT 250
