2012 (2) TMI 445 - HC - VAT and Sales Tax

Summary

Issues involved:
The issues involved in the judgment include a demand notice for tax payment, rectification application, appeal against demand notice, revenue recovery proceedings, stay petition, conditional order for stay, revision application, and legality of orders u/s assessment.

Demand Notice and Rectification Application:
The petitioner received a demand notice for payment of &8377; 68,00,000 for the year 2007-08. Subsequently, the petitioner filed a rectification application (Exhibit P2) and appealed against the demand notice. The court directed the disposal of the stay petition filed with the appeal, and stay was granted pending further orders.

Stay Order and Revision Application:
Following the court's directions, an order (Exhibit P6) was passed on the rectification application. A stay order (Exhibit P13) was issued, requiring the petitioner to pay &8377; 4,00,000 and provide security for the remaining amount. The petitioner challenged this order by filing a revision application (Exhibit P15) before the same authority.

Challenging the Stay Order:
The writ petition was mainly filed to challenge the conditional stay order (Exhibit P13). The petitioner argued that the orders u/s assessment were illegal, thus the conditions imposed by the appellate authority were unjustifiable. However, the court held that the appellate authority's decision to pass a conditional order was justified. Considering the substantial amount due from the petitioner, the order was deemed valid and not vitiated.

Revision Application Consideration:
The petitioner requested the disposal of the revision application (Exhibit P15). The court noted that no provision of law enabled the petitioner to file such a revision before the same authority who passed the stay order. Therefore, the court declined to direct consideration of the revision application as requested by the petitioner.