2010 (10) TMI 958 - HC - VAT and Sales Tax

Whether the petitioner is not liable to be assessed and in fact he is entitled to refund? Held that - In view of the Explanation to sections 32 and 33, in our opinion, the assessee can file objections before the competent authority as provided under section 74 of the Act. After the certified copies are received, the assessee shall file objections as contemplated under the Explanation to sections 32 and 33 within 30 days from the date of receipt of the certified copies of the orders as asked for by the assessee. It is open to the petitioner to raise all possible contentions including the facet of jurisdiction and limitation before the said authority. Till the matter is finalised, no coercive steps shall be taken for realization or recovery of any sum that has been demanded.

Summary

Issues:
1. Assessment under section 32 of the Delhi Value Added Tax Act, 2004 and imposition of penalty.
2. Non-supply of certified copies of original assessment orders.
3. Maintainability of the petition under sections 32, 33, and 74 of the Act.

Analysis:
1. The petitioner sought relief through a writ petition to strike down impugned orders and recovery certificates, claiming they were illegal, arbitrary, and without jurisdiction. The petitioner argued that despite being assessed under section 32 of the Act and penalized, they were entitled to a refund. The respondents' counsel contended that the petition was not maintainable under sections 32, 33, and 74 of the Act. The judges opined that the assessee could file objections under section 74 after receiving certified copies of the orders, within 30 days, raising all possible contentions, including jurisdiction and limitation, before the competent authority.

2. The petitioner highlighted the non-supply of certified copies of the original assessment orders, which was crucial for filing objections under the Act. The respondents assured to provide the certified copies within 10 days, enabling the petitioner to proceed with the objection process as per the statutory requirements. The judges emphasized the importance of the assessee receiving certified copies before initiating objections and clarified that objections could be raised within 30 days from the date of receipt.

3. The judges, considering the Explanation to sections 32 and 33 of the Act, concluded that the petitioner could approach the competent authority under section 74 to file objections. They directed that no coercive steps for recovery should be taken until the objection process was completed. The writ petition was allowed to the extent mentioned, with no costs imposed. The order was to be made available under the court master's signature, ensuring compliance with the legal procedures outlined in the judgment.