2017 (3) TMI 1556 - HC - VAT and Sales Tax

Jurisdiction - assessment - Held that - this Court is of the opinion that the present case is not the one where exercise of discretion under Article 226 of the Constitution of India is warranted given that the petitioner has not exhausted its appellate remedies. At the same time, peculiar circumstances are such that the filing of an appeal would expose the petitioner to an immediate liability of fulfilling the pre-deposit condition. Consequently, in the event, the petitioner prefers appeal/objections to the Special Commissioner under Section 74 of the DVAT Act, within three weeks from today, the same shall be deemed to have been in compliance with the limitation period and shall be heard and dealt with on the merits - petition allowed.

Summary

The High Court of Delhi held that the petitioner must exhaust appellate remedies before seeking relief under Article 226 of the Constitution of India. However, due to peculiar circumstances, the petitioner can file an appeal within three weeks without pre-deposit condition. The objections will be heard by the Special Commissioner, and coercive methods for recovery are prohibited.