2013 (5) TMI 770 - HC - VAT and Sales Tax

Summary

Issues involved: Challenge against penalty order u/s 54(5) of U.P. Value Added Tax Act for assessment year 2008-09.

Summary:

The present writ petition challenged a penalty order dated September 10, 2009 passed u/s 54(5) of the U.P. Value Added Tax Act for the assessment year 2008-09. The petitioner's account books were accepted in the assessment proceedings, but a penalty notice was issued under section 54(1), Sl. No. 2 for concealment of turnover particulars. However, the penalty order was framed under section 54(1), Sl. No. 5 without giving a show-cause notice under that provision. This lack of opportunity to contest the case rendered the penalty order invalid, as the petitioner could not properly present its defense. Consequently, the High Court found merit in the writ petition and quashed the penalty order dated September 10, 2009.

In conclusion, the High Court allowed the writ petition, quashed the penalty order, and made no order as to costs.