2015 (8) TMI 151 - HC - VAT and Sales Tax

Duty demand - Failure to furnish the statutory forms - Held that - Court in MRF Ltd. v. The Commercial Tax Officer (IAC-I), after examining the provisions of the Sections 6A, 8(4) and 13 of the Central Sales Tax Act, 1956; Rules 5(1) and 14(4) of the Central Sales Tax (Pondicherry) rules, 1967, and Rule 12(1), (5) and (7) of the Central Sales Tax (Registration & Turnover Rules) held that there is no provision for the present under the Puducherry Value Added Tax Rules to submit the declaration forms in the electronic mode as has been suggested by the Department and, therefore, the department s insistence on online uploading of declarations forms is not in consonance with any of the Rules either under the Central Sales Tax Rules or Puducherry Value Added Tax Rules. That apart, it was also held that the approach of the Department should be to ensure that what the assessee is rightfully entitled to should be extended to the assessee without harping on technicalities. - Decided in favour of assessee.

Summary

Issues:
Non-filing of Form 'C' and Form 'F' declarations for assessment years 2011-12, 2012-13, and 2013-14; Department's insistence on online uploading of declaration forms; Refusal to accept manual filing of hard copy of declaration forms causing impediment to petitioner/assessee.

Analysis:
The petitioner filed writ petitions seeking Certiorarified Mandamus to challenge assessment orders and direct the respondent to accept manual filing of declaration forms. The bone of contention was the non-filing of Form 'C' and Form 'F' declarations for the mentioned assessment years.

For the assessment year 2012-2013, the department issued notices granting time for filing statutory forms. Despite requests and notices, the petitioner failed to furnish forms, leading to assessment orders and demands. Similar circumstances occurred for the assessment year 2011-2012, resulting in assessment orders and demands challenged in separate writ petitions.

Regarding the assessment year 2013-2014, the petitioner contested the assessment order demanding balance tax payment. The petitioner argued against the department's insistence on uploading statutory forms online, citing difficulties in obtaining forms from other states and hindrances in business activities due to tax demands.

In a similar case, the court in MRF Ltd. v. The Commercial Tax Officer addressed the provisions of relevant tax acts and rules, concluding that the department's insistence on online form submission was not supported by existing rules. The court emphasized extending rightful entitlements to the assessee without technical hindrances.

Applying the precedent, the court allowed the writ petitions, setting aside the impugned orders and directing the Assessing Officer to accept physical submission of statutory declarations for assessment. The court highlighted the importance of avoiding technicalities and ensuring fair treatment for the assessee.

As a result of the judgment, the department was instructed to permit the petitioner to download statutory declaration forms and complete assessments promptly. The petitioner agreed to cooperate for expedited assessment processes, resolving the issues raised in the writ petitions effectively.