2010 (11) TMI 876 - HC - VAT and Sales Tax

Summary

Issues involved: Revision against Tribunal's order upholding remand by first appellate authority regarding set-off of tax based on allegedly non-genuine invoices.

Details of the judgment:

1. Issue 1 - Set-off of tax based on allegedly non-genuine invoices:
- The applicant filed return claiming set-off of tax based on invoices from a selling dealer.
- Assessing officer found invoices not genuine, issued notice u/s 8 and 54 of the U.P. Value Added Tax Act, 2008.
- Assessing authority passed order raising demand and levying penalty.

2. Joint Commissioner (Appeal) decision:
- Joint Commissioner remanded matter to assessing authority for further investigation.
- Directed assessing officer to verify selling dealer's status and authenticity of cheques issued by applicant.
- Applicant should have opportunity to cross-examine selling dealer.

3. Tribunal's decision:
- Tribunal dismissed appeals against Joint Commissioner's order.

4. Arguments and findings:
- Applicant argued against remand, citing precedent.
- Standing counsel stated no prejudice caused by remand, burden on applicant to prove invoice genuineness.
- Assessing authority found grounds for proceeding under sections 8 and 54.
- No error found in remand order, in interest of the assessee.

5. Conclusion:
- Both revisions dismissed, no prejudice caused by remand for fresh inquiry.

In conclusion, the High Court upheld the Tribunal's decision to dismiss the appeals, affirming the remand by the Joint Commissioner for further investigation into the authenticity of invoices and providing the applicant with an opportunity to cross-examine the selling dealer.