2016 (12) TMI 70 - HC - VAT and Sales Tax

Condonation of delay of 120 days - limitation period prescribed in the proviso to Section 36(1) of the Act - Held that - As per Section 36(1) of the Act the limitation period for filing appeal by the Government is 120 days whereas it is 60 days for others. Therefore it is clear that within 120 days the Government should have filed appeal. It is further specified that the Appellate Authority is empowered to admit the appeal presented by the Government after further period of 120 days if sufficient cause is given for not filing the appeal within the limitation period. Therefore it is clear that appellate authority is empowered to condone the delay upto 120 days after the expiry of the limitation period as specified in the proviso to Section 36 of the Act. Since the statute provides for a specific period of limitation the authority concerned cannot condone the delay beyond the period of 240 days i.e. 120 days of limitation period and 120 days of delay. This clear exclusion renders the appeal filed by the Government beyond the period of 240 days as one barred by limitation. The condonation of delay period is beyond the period prescribed by the statutory provisions and the same is not legally sustainable and therefore this Court has come to the conclusion that since the second respondent has filed the appeal beyond the period of limitation as prescribed under Section 36(1) of the Act the impugned order passed by the first respondent/Tribunal is liable to be set aside - delay not condoned - appeal allowed - decided in favor of appellant-assessee.

Summary

Issues:
1. Challenge to the order passed in a miscellaneous petition.
2. Interpretation of Section 36(1) of the Tamil Nadu General Sales Tax Act, 1959.
3. Condonation of delay in filing an appeal.
4. Application of Limitation Act to appeals under special laws.

Analysis:

1. The petitioner, a dealer of household appliances, sought to quash an order passed by the first respondent in a miscellaneous petition. The order pertained to the condonation of delay in filing an appeal against a best judgment assessment for the assessment year 2001-02 under the Tamil Nadu General Sales Tax Act, 1959.

2. The crux of the matter revolved around the interpretation of Section 36(1) of the Act, which delineates the limitation period for filing appeals. The section specifies different time limits for the Government and other individuals, with a provision for further condonation of delay by the Appellate Tribunal under certain circumstances.

3. The petitioner contended that the appeal filed by the second respondent was beyond the permissible condonable period, as evidenced by the Certificate issued by the Appellate Deputy Commissioner. The Tribunal, however, justified the delay based on office manual procedures, a move contested by the petitioner citing statutory provisions and legal precedents.

4. The judgment delved into the application of the Limitation Act to appeals under special laws, emphasizing the exclusion of Section 5 of the Limitation Act in such cases. The court highlighted the statutory provisions under the Tamil Nadu General Sales Tax Act, 1959, and the subsequent amendments, concluding that the condonation of delay in this instance exceeded the prescribed period and was legally unsustainable.

In conclusion, the High Court allowed the writ petition, setting aside the impugned order passed by the Tribunal. The judgment underscored the importance of adhering to statutory limitations and emphasized the exclusivity of special laws in governing such matters, thereby upholding the petitioner's challenge to the delay in filing the appeal.