2018 (7) TMI 232 - HC - VAT and Sales Tax

Penalty u/s 67(1)(c)(d) & (i) of the Kerala Value Added Tax Act, 2003 - Held that - The issue whether the petitioner is liable to penalty under the Act is a matter for the first respondent to consider at the first instance, after considering the objections, if any, raised by the petitioner against the proposal made in Ext. P1 notice - petition is dismissed.

Summary

Issues: Challenge to notice issued under Kerala Value Added Tax Act for imposing penalty

Analysis:
The judgment deals with a writ petition challenging a notice issued under section 67(1)(c)(d) & (i) of the Kerala Value Added Tax Act, 2003 (the Act) to impose a penalty on the petitioner. The petitioner contests the liability to pay the proposed penalty and seeks relief under Article 226 of the Constitution of India.

The court heard arguments from both the petitioner's counsel and the Government Pleader representing the respondents. The central issue in question is whether the petitioner is indeed liable to pay the penalty under the Act, which is to be determined by the first respondent after considering any objections raised by the petitioner against the penalty proposed in the notice.

The judgment ultimately dismisses the writ petition without prejudice to the petitioner's right to raise objections against the penalty proposed in the notice. It emphasizes that if the petitioner raises objections, the first respondent must pass orders after considering the objections and providing the petitioner with a fair opportunity to be heard. This ensures due process and upholds the petitioner's right to challenge the penalty imposition under the Act.