2014 (9) TMI 590 - HC - VAT and Sales Tax

Rejection of revision application - Bar of limitation - Section 54(1) of TNVAT Act - Held that - it would be suffice to direct the 2nd respondent to entertain the revisions without putting the issue of limitation and dispose of the same in accordance with law. - Decided in favour of assessee.

Summary

Issues:
1. Challenge to notice proposing tax on total turnover.
2. Rejection of representation for revision under TNVAT Act.

Analysis:
1. The petitioner, a dealer of Indian Oil Corporation Limited, claimed Input Tax Credit on VAT paid to Commercial Tax Authorities for Auto LPG sales. The 1st respondent issued a notice proposing to tax 15% on total turnover, alleging non-furnishing of purchase details. Petitioner responded with objections and filed writ petitions challenging the notice. Court directed to file objections earlier, and the 1st respondent passed an order later. The 2nd respondent rejected the revision application based on TNVAT Act provisions. The petitioner challenged the rejection and original order in the writ petitions.

2. During the hearing, the petitioner's counsel made submissions on the merits of the impugned orders. However, the Court decided to direct the 2nd respondent to entertain the revisions without considering the issue of limitation and to dispose of them in accordance with the law. Consequently, the writ petitions were partly allowed, setting aside the orders of the 2nd respondent. The 2nd respondent was instructed to entertain the revision, if the papers are in order, without considering the limitation issue and to pass orders on merits within eight weeks from the date of receipt of the court's order. No costs were awarded, and the connected Miscellaneous Petitions were closed.