2010 (11) TMI 945 - HC - VAT and Sales Tax

Summary

Issues Involved: Penalty under Section 78(10-A) of the Rajasthan Sales Tax Act, 1994 set aside by Deputy Commissioner (Appeals) and Rajasthan Tax Board, challenge in revision petition.

Summary:

The assessing officer levied a penalty under Section 78(10-A) of the Rajasthan Sales Tax Act, 1994, which was later set aside by the Deputy Commissioner (Appeals) and the Rajasthan Tax Board. The petitioner challenged this decision through a revision petition.

The petitioner argued that although all relevant documents were produced during the checking of the vehicle/goods, the absence of the seal of the check post of the Commercial Taxes Department of Rajasthan led to the penalty imposition. The petitioner sought to set aside the orders of the appellate authorities and reinstate the assessing officer's order.

Upon review, it was found that all required documents were indeed available and produced during the checking, and the necessary tax had been paid by the assessee. The presence of the seal of the check post was not a mandatory requirement as per the Act.

Referring to a previous case, the Court established that the provisions regarding the seal were directory and not mandatory. It was emphasized that the absence of mens-rea on the part of the assessee, coupled with the availability of all required documents and payment of tax, indicated no intention to evade tax.

Consequently, the Court found no illegality in the concurrent findings of the appellate authorities and dismissed the revision petition, stating that no question of law was involved in the matter.