2021 (5) TMI 165 - HC - VAT and Sales Tax

Validity of Entry tax - non-payment/adjustment of the entry tax for the assessment years 2000-2001 to 2004-2005 - grievance of the petitioner is that though personal hearing notices were dated 01.03.2021, it were served on the petitioner only on 11.03.2021 and thereafter, few days only left for him to attend the personal hearing - Principles of natural justice - HELD THAT - It is unfortunate that this matter has been prolonged from the year 2001 onwards and various writ petitions have been filed before this Court and from the year 2001, the petitioner had been litigating the notices and assessment orders and therefore, there was enough time for him to be ready with the case - the petitioner has filed the writ petitions on the 20th day of April, 2021, which is two days before the date of personal hearing and had missed the opportunity of personal hearing and therefore, filing of these writ petitions, is only an abuse of process of this Court. Though this Court is not inclined to accept the contention of the petitioner and finds that only because of the attitude of the petitioner, he lost the opportunity of appearing before the authority for personal hearing, taking into consideration the present pandemic times and taking into consideration that the writ petitions have been filed before the date of personal hearing, the respondent shall fix the date of personal hearing on 12.05.2021 for all the assessment years and the petitioner shall appear before the authorities for personal hearing on 12.05.2021 and then pass orders afresh - Petition allowed by way of remand.

Summary

Issues:
Challenging proceedings of the respondent in multiple assessment years, lack of personal hearing opportunity, delay in serving personal hearing notices, abuse of process of the court.

Analysis:
The petitioner, an authorized dealer in automobiles, challenged the respondent's proceedings in various assessment years, alleging non-payment of entry tax despite regular tax compliance. The petitioner contended that personal hearing was not provided before passing assessment orders, leading to a series of writ petitions. The court, in an earlier order, directed the respondent to afford personal hearing and pass orders accordingly. However, the petitioner claimed insufficient time for personal hearing due to delayed notice service and simultaneous hearing dates for multiple assessment years.

The respondent argued that the petitioner had a history of tax evasion and non-compliance, prompting the issuance of impugned notices post the court's directive for personal hearing. The court noted the prolonged litigation since 2001 and emphasized the petitioner's responsibility to be prepared for the case. It upheld the validity of the notices, highlighting the finality of the previous court order and dismissing the petitioner's claim of inadequate opportunity for objections.

Despite the court's inclination against the petitioner's contentions and considering the pandemic situation, it granted a final opportunity for personal hearing on a specified date. The court warned that failure to attend the hearing would empower the respondent to proceed with orders based on merits and in accordance with the law. Ultimately, the writ petitions were disposed of without costs, with connected miscellaneous petitions closed.

This detailed analysis of the judgment showcases the court's thorough consideration of the petitioner's grievances, the respondent's justifications, and the ultimate decision to provide a final chance for personal hearing while addressing the delays and procedural issues in the case.