2014 (9) TMI 374 - HC - VAT and Sales Tax

Revision of assessment - non inclusion of the Anti Dumping Duty (ADD) - Revenue proposed to levy tax on the estimated sale value by including an amount equivalent to the ADD paid - Held that - writ petition is disposed of, by directing the respondent to defer the implementation of the impugned order, dated 06.06.2014 till the disposal of the revision to be filed by the petitioner and the revisional authority, namely, the jurisdictional Joint Commissioner is at liberty to dispose of the said revision as expeditiously as possible in accordance with law - Decided in favour of assessee.

Summary

Issues:
1. Assessment order revision for not including Anti Dumping Duty (ADD) in sale value.
2. Rejection of appeal by Appellate Deputy Commissioner and Sales Tax Appellate Tribunal.
3. Praying for postponement of recovery proceedings until revision disposal.

Analysis:

1. The respondent initially accepted the monthly returns but later proposed to revise the assessment for the assessment year 2010-11 due to the petitioner's alleged omission of Anti Dumping Duty (ADD) on goods sold to a specific entity. The petitioner objected, but the revised order was passed disregarding the objections.

2. The petitioner's appeal to the Appellate Deputy Commissioner and the Sales Tax Appellate Tribunal was rejected, leading to the filing of a Tax Case Revision, which was pending. The petitioner sought relief under Section 42(3) of the TNVAT Act, 2006, which allows for postponement of interest payable during appeal or revision proceedings.

3. The petitioner argued that recovery proceedings should be deferred until the disposal of the revision. The court considered both sides' submissions and directed the respondent to postpone the implementation of the impugned order until the petitioner files the revision. The revisional authority was instructed to expedite the revision process in accordance with the law. No costs were awarded, and the connected miscellaneous petition was closed.