2013 (10) TMI 1501 - HC - VAT and Sales Tax

Summary

Issues involved: Challenge to order of Commercial Tax Tribunal under Section 54(1)(14) of the U.P. VAT Act, 2008 for assessment year 2008-09 regarding penalty proceedings.

Summary:
The revisionist challenged the order of the Commercial Tax Tribunal, Lucknow, regarding penalty proceedings under Section 54(1)(14) of the U.P. VAT Act, 2008 for the assessment year 2008-09. The counsel for the revisionist argued that a technical mistake in filling up column 6 of Form 38 was made, but all other relevant documents proving the legitimate transportation of goods were available during inspection. It was contended that the Assessing Authority wrongly concluded an intention to evade tax based on confusion between the sale of material and its subsequent use. The counsel further mentioned that the benefit of tax realization would be provided when the tower, subject to sharing with other service providers, is erected. The order of the tribunal was criticized for missing crucial points, rendering it flawed.

The learned Standing Counsel was granted four weeks to file a counter affidavit, with a week allowed for the revisionist to file a rejoinder affidavit. In the interim, the implementation of the impugned order dated 20.9.2013 was stayed.