APPEAL TO APPELLATE ASSISTANT COMMISSIONER/APPELLATE DEPUTY COMMISSIONER UNDER TAMIL NADU VALUE ADDED TAX ACT, 2006

[Mr. M. GOVINDARAJAN]

APPEAL:

                        An appeal is only a continuation of assessment proceedings.   It should not be equated to a civil court.   The appellate authority can revise and rewrite the order of assessment and whatever discretion is conferred on the assessing authority can be treated as conferred on the appellate authority, even if the statute does not so provide.  The following are the appellate authorities under this Act:

• Appellate Assistant Commissioner;
• Appellate Deputy Commissioner;
• Appellate Tribunal;
• High Court.

APPEAL TO APPELLATE ASSISTANT COMMISSIONER:

                        The procedure involved in the appeal to Appellate Assistant Commissioner is as follows:

• Any person objecting to an order passed by the appropriate authority other than the Assistant Commissioner (Assessment) under-

-          Sec. 22(4) – Best Judgment method of assessment in case of no return is filed;

-          Sec. 22(5) – penalty imposed at the rate of 150% of the tax assessed;

-          Sec 24 – Assessment of sales shown in accounts at low prices;

-          Sec. 26 – Assessment of legal representatives;

-          Sec. 27(1) – Assessment of escaped turnover;

-          Sec. 27(2) – Assessment of wrong availment of input tax credit;

-          Sec. 27(3) – Penalty for Sec. 27(1);

-          Sec. 27(4) – Penalty for Sec. 27(2);

-          Sec. 28 – Assessment of turnover not disclosed under compounding provisions;

-          Sec. 29 – Assessment in cases of price variation;

-          Sec. 34 – Penalty for not observing restrictions and conditions notified;

-          Sec. 40(2) – Penalty for collection of tax contravening Sec. 40(1).

• Appeal should be filed within 30 days from the date on which the order was served on him in the Form – X, in duplicate, duly verified in the manner specified;
• Appeal shall be filed to the Appellate Assistant Commissioner having jurisdiction;
• The Appellate Assistant Commissioner may entertain an appeal presented after the expiry of the limitation period for a further period of 30 days if he is satisfied that the appellant has sufficient cause for not presenting the appeal within the time;
• The appeal shall be accompanied by satisfactory proof of the payment of tax admitted by the appellant to be due or of such installments thereof as might have become payable and 25% of the difference of the tax assessed by the assessing authority and the tax admitted by the appellant;
• The appeal shall be accompanied by two copies of the order appealed against one of which shall be a certified copy;
• The appellate authority may entertain the appeal, if it is satisfied that the appellant has sufficient cause for not furnishing the copies of the order appealed against;
• Fee for appeal is Rs.100/-;
• If the appellate authority finds any defect or omission in the appeal, it shall return the appeal for rectification of the defect or for supplying the omission and representation within 10 days from the date of receipt by the appellant;
• Where the appeal is re-presented after the expiry of the period of 10 days, the appellate authority may admit such petition, if re-presented within a further period of 10 days and if it is satisfied that the appellant has sufficient cause for not representing the appeal within the said period;
• After the registration of appeal, the Appellate Assistant Commissioner shall set a date of hearing and shall send intimation thereof to the Departmental representative;
• A copy of the Memorandum of appeal and the order appealed from shall be furnished to the Departmental representation;
• The departmental representative shall obtain the records of the case from the Assessing Authority and transmit them to the Appellate Assistant Commissioner;
• On the date fixed for hearing or any other date to which the hearing may be adjourned the appellant shall ordinarily be heard first in support of his appeal. The departmental representative shall be heard next;
• The departmental representative shall file a written statement and the appellant shall be entitled to reply;
• In disposing of an appeal, the Appellate Assistant Commissioner may, after giving the appellant a reasonable opportunity of being heard, and for the sufficient reasons to be recorded in writing-
  • In the case of an order of assessment-
    • Confirm, reduce, enhance or annul the assessment or the penalty or both;
    • Set aside the assessment and direct the assessing authority to make a fresh assessment after such further enquiry as may be directed; or
    • Pass such other orders as he may think fit.
    • In the case of any order, confirm, cancel or vary such order.

The Appellate Assistant Commissioner may, in his discretion, give such directions as he thinks fit in regards to the payment of the tax before the disposal of the appeal, if the appellant furnishes sufficient security to his satisfaction, in such form and in such manner as may be prescribed.   The said directions shall stand vacated, if no final order is passed within a period of 180 days of the issue of order;

                        The order of Appellate Assistant Commissioner shall be communicated to the appellant and the authority against whose order the appeal was filed.

APPEAL TO APPELLATE DEPUTY COMMISSIONER:

                        Any person objecting to an order passed by the Assistant Commissioner (Assessment) under-

-          Sec. 22(4) – Best Judgment method of assessment in case of no return is filed;

-          Sec. 22(5) – penalty imposed at the rate of 150% of the tax assessed;

-          Sec 24 – Assessment of sales shown in accounts at low prices;

-          Sec. 26 – Assessment of legal representatives;

-          Sec. 27(1) – Assessment of escaped turnover;

-          Sec. 27(2) – Assessment of wrong availment of input tax credit;

-          Sec. 27(3) – Penalty for Sec. 27(1);

-          Sec. 27(4) – Penalty for Sec. 27(2);

-          Sec. 28 – Assessment of turnover not disclosed under compounding provisions;

-          Sec. 29 – Assessment in cases of price variation;

-          Sec. 34 – Penalty for not observing restrictions and conditions notified;

-          Sec. 40(2) – Penalty for collection of tax contravening Sec. 40(1).

The other procedure of appeal is same that followed in the appeal before Appellate Assistant Commissioner.