2024 (3) TMI 843 - HC - VAT and Sales Tax

Direction to make pre-deposit under section 73(5) of the GVAT Act as a condition to proceed with the matters on merits filed under section 73 of the GVAT Act - HELD THAT - In case of M/s. Aims Biotech, when the Tribunal was passing the order dated 05.04.2022 without reference to the order passed in M/s. Nirman Life Science, neither the appellant nor learned advocate for the respondents have drawn attention of the Tribunal with regard to the order passed in case of the appellant - Tribunal has also imposed the cost of Rs. 6000/- upon the appellant while passing aforesaid order. The impugned order passed by the Tribunal is also quashed and set aside and the matter is remanded back to the First Appellate Authority for fresh hearing to determine the pre-deposit as per section 73 of the GVAT Act. First Appellate Authority shall hear both the appeals of M/s. Aims Biotech as well as M/s. Nirman Life Science together within a period of two months from the date of receipt of copy of this order after deposit of the cost of Rs. 6000/- by the assessee in each case. The appeals are accordingly disposed of.

Summary

Issues involved:
Challenging order of Gujarat Value Added Tax Tribunal regarding pre-deposit under section 73 of GVAT Act for Assessment Years 2011-12 and 2013-14.

Summary:
The appellant challenged the order of the State Tax Officer and Deputy Commissioner of State Tax Appeal-1, Ahmedabad, regarding assessment orders for the mentioned years. The Gujarat Value Added Tax Tribunal directed the appellant to make pre-deposits of Rs. 5 Lacs and Rs. 75 Lacs for the respective financial years. The appellant argued that a similar case involving a sister concern had been remanded back for fresh hearing by the Tribunal, highlighting the need for consistency in treatment. The comparison of assessment orders for both entities showed similarities, emphasizing the need for fair and equal treatment. Despite this, the Tribunal's order did not consider the previous case involving the appellant's sister concern. Additionally, the Tribunal imposed a cost of Rs. 6000/- on the appellant. The appellant sought a similar order to be passed in their case, with the cost to be paid before the First Appellate Authority. Ultimately, the High Court quashed the Tribunal's order and remanded the matter back to the First Appellate Authority for fresh hearing to determine the pre-deposit as per section 73 of the GVAT Act. Both appeals were to be heard together within a specified timeframe after the payment of the imposed cost.