2016 (7) TMI 478 - HC - VAT and Sales Tax

Waiver of pre-depsoit - 1st respondent, while granting an order of interim stay, directed the petitioner to pay 25% of the disputed tax and to file Bank Guarantee to the satisfaction of the Assessing Officer for the balance tax - Held that - In view of the submissions made by the learned counsel on either side, the order dated 07.04.2016 is modified by directing the petitioner to pay 25% of the disputed tax and to give Personal Bond for a sum of ₹ 10,71,752/- being the balance tax payable by the petitioner, within a period of two weeks from the date of receipt of a copy of this order.

Summary

Issues:
- Challenge to interim order on Stay Petition
- Direction to dispose of appeal without pre-deposit

Interim Order on Stay Petition:
The petitioner filed a Writ Petition challenging the interim order of the 1st respondent dated 07.04.2016, which required the petitioner to pay 25% of the disputed tax and provide a Bank Guarantee for the remaining tax amount. The petitioner sought permission to provide a Personal Bond instead of a Bank Guarantee. The learned counsel for the petitioner argued for the modification of the order, allowing the petitioner to give a Personal Bond for the entire balance tax amount. The Additional Government Pleader (Tax) agreed with the petitioner's request to provide a Personal Bond.

Modification of Interim Order:
Considering the submissions from both sides, the Court modified the order dated 07.04.2016. The petitioner was directed to pay 25% of the disputed tax and provide a Personal Bond for the remaining tax amount within two weeks from the date of the Court's order. The stay order would remain in force until the appeal was disposed of, while other aspects of the original order remained unchanged.

Disposition of Writ Petition:
The Court disposed of the Writ Petition with the observation that the petitioner must comply with the modified order. No costs were awarded, and the connected miscellaneous petition was closed.