2017 (6) TMI 1197 - HC - VAT and Sales Tax

Principles of Natural Justice - service of notice - the Appellate Authority has noted only the issuance of the notice and not given any specific finding as to whether such notice was served on the petitioner - Held that - as the petitioner contends that they have changed the address, which was not intimated to the Appellate Authority by over sight, the petitioner should be given one more opportunity to appear before the Appellate Authority and agitate the matter on merits - the matter is remitted back to the first respondent / Appellate Authority for re-considering the appeals once again on merits and pass fresh orders, after hearing the petitioner - petition allowed by way of remand.

Summary

Issues:
Challenging orders of Appellate Authority under TN VAT Act and CST Act for assessment years 2009-2010 and 2010-2011.

Analysis:

The writ petitions were filed to challenge the orders passed by the Appellate Authority dismissing the appeals filed by the petitioner under the Tamil Nadu Value Added Tax (VAT) Act and the Central Sales Tax (CST) Act for the assessment years 2009-2010 and 2010-2011. The petitioner contended that the appeals were dismissed without hearing them due to a change of address not being intimated to the Appellate Authority. On the other hand, the Government Advocate argued that the petitioner failed to appear despite multiple notices, leading to the dismissal of the appeals after hearing the departmental representative. The High Court noted that the petitioner was not represented before the Appellate Authority, and the order did not specify if the notice was served on the petitioner. Considering the petitioner's claim of a change of address, the Court decided to give them another opportunity to appear before the Appellate Authority and present their case on merits. The Court also highlighted that the petitioner had paid 25% of the tax liability at the time of filing the appeals, ensuring no prejudice would be caused by rehearing the appeals. Therefore, the writ petitions were allowed, and the impugned orders were set aside, remitting the matter back to the Appellate Authority for reconsideration, with specific instructions to issue a notice to the present address of the petitioner and hear the appeals within a specified timeframe. The Court clarified that it was not expressing any view on the merits of the matter, as it was for the Appellate Authority to consider and decide accordingly.