2020 (9) TMI 347 - HC - VAT and Sales Tax

Maintainability of petition - Validity of assessment order - writ petition after 3 years - Condonation of delay - HELD THAT - As on date, there is no justification whatsoever to interfere with the order of R1 confirming the assessment and levy of tax. In fact there is no acceptable explanation for the delay of three years in filing this writ petition - The only trigger for filing of this Writ Petition was that the cancellation of penalty had been challenged by the revenue and this can hardly be a ground for interference with the impugned order. Petition dismissed.

Summary

Issues: Challenge to order passed by Appellate Deputy Commissioner, justification for interference with the order confirming assessment and levy of tax, delay in filing the writ petition, challenge to the order of Sales Tax Appellate Tribunal restoring penalty.

Analysis:
1. The Writ Petition challenged an order passed by the Appellate Deputy Commissioner confirming assessment and levy of tax but deleting the penalty. The petitioner indicated the writ petition wouldn't be pursued if the reversal of penalty was not justified.

2. The Government Advocate informed that the penalty cancellation by the Appellate Deputy Commissioner had been challenged by the revenue before the Sales Tax Appellate Tribunal. The Tribunal's order restored the penalty, reversing the decision of the first Appellate Authority.

3. The petitioner expressed intent to challenge the Tribunal's order through Tax Case (Revision) before the High Court. However, the Court found no justification to interfere with the Appellate Deputy Commissioner's order on tax assessment and levy due to the three-year delay in filing the writ petition.

4. The Court emphasized that the mere challenge of penalty restoration by the revenue was insufficient grounds for interference with the impugned order. Consequently, the writ petition was dismissed, and related petitions were closed without costs.