2014 (4) TMI 808 - SCH - VAT and Sales Tax

Interim directions Pre-deposit - Demand of tax Reopening of the TIN Number - Punjab General Salex Tax Act, 1948 - Held That - The Court directed the respondents to open the TIN number of the applicant seized under Rule 51-A of the Rules and assessee will deposit a sum of Rs.10 lacs within two weeks time and also furnish bank guarantee for the balance amount of 7 lacs approximately If the petitioner fails to comply with aforesaid order, the respondents would be at liberty to recover the entire tax due for the assessment year 2011-12 by adopting coercive measures Interim stay granted.

Summary

The Supreme Court directed the respondents not to demand tax for the assessment year 2011-12 under the Punjab General Sales Tax Act, 1948. The applicant was required to deposit Rs.10 lacs within two weeks and provide a bank guarantee for the remaining amount to avoid coercive measures for tax recovery. Failure to comply would allow the respondents to recover the full tax due. No interim orders were granted for previous assessment years.