applicable. Similarly, when the gold is sold in open market, corresponding VAT payable on sale of gold is paid. Under this scheme, there is purchase and sale of gold in the State of Maharashtra. Hence, the petitioner is registered as a reseller of gold under the MVAT Act and the CST Act. Thereafter, the VAT and CST returns were filed. Based on the computation, the petitioner applied for refund of Rs.2,06,51,993/- for the year 2012-13. The petitioner claimed input tax credit in the said year of Rs.5,17,31,276/- and output tax liability of Rs.3,10,79,343/-. To verify the correctness of the claim of refund, notice of 1st June, 2015 was issued by the assessing authority i.e. the Deputy Commissioner of Sales Tax. In the assessment proceedings, the assessing authority rejected the input tax claim by making a reference to Rule 53(6)(b) of the Rules. Further, a differential tax liability as shown in the foregoing paragraphs is confirmed in the assessment order. The total demand is thus 7,30,36,456.36. Being aggrieved by this assessment order, an appeal was preferred before the first appellate authority and that appeal was partly allowed on 24th March, 2017. The penalty levied under section 29(3) was deleted, however, the Joint Commissioner (first appellate authority) held that input tax credit cannot be allowed for sales beyond six months of purchase. He confirmed the interest under section 30(3). Thus, the tax payment of
