9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (2) TMI 417 - HC - VAT and Sales TaxScope of pre-assessment notice - scope enlarged while making assessment - Held that - the impugned order is set aside to the extent of tax imposed qua amounts added back on account of stock transfer and export sales qua, which exemption was, purportedly, claimed under Section 5(1) of the CST Act, 1956 - petition disposed off.
Issues:
Challenge to assessment order based on scope of pre-assessment notice. Analysis: The petitioner challenged the assessment order dated 28.12.2016, arguing that the scope of the pre-assessment notice dated 09.11.2016 was expanded by the respondent during the assessment process. The petitioner contended that the denial of concessional tax rate on a turnover amount due to alleged failure to file supportive declarations in Form C was incorrect. The petitioner submitted a reply on 22.11.2016, including 'C' Forms and Form F for stock transfers. However, adjustments were only made for 'C' Forms, and the respondent disallowed certain amounts not mentioned in the pre-assessment notice. The petitioner disputed the denial of exemption for stock transfers and claimed that the higher tax rate imposed on the balance amount was unjustified. Regarding the stock transfers and export sales, the petitioner argued that the assessment order exceeded the pre-assessment notice's scope. The petitioner emphasized the lack of opportunity for a personal hearing, which prevented the submission of relevant documents. The counsel for the petitioner contended that the assessment order went beyond the pre-assessment notice concerning stock transfers and export sales. The Court acknowledged the discrepancy and set aside the impugned order concerning tax imposed on stock transfers and export sales where exemption was claimed under Section 5(1) of the CST Act, 1956. The respondent was directed to reassess these aspects, and tax recovery was stayed for a specific amount pending the reassessment. The petitioner confirmed that the remaining tax had been paid, and the Court recorded this statement. The Court instructed the respondent to conduct the reassessment promptly, providing a personal hearing to the petitioner within eight weeks. The writ petition was disposed of according to the directions provided, and the associated application was closed without any costs being awarded.
|
