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TMI Blog2004 (4) TMI 559X X X X Extracts X X X X X X X X Extracts X X X X ..... having not admitted any tax realised the tax from customers for the month of October, 1999 in U.P. and in Central. ORDER PRAKASH KJRISHNA J.--These two revisions under section 11 of theU.P. Trade Tax Act, 1948, (hereinafter referred to as "the Act") arise out ofa common order of the Tribunal dated October 22, 2003 confirming thelevy of penalty under section 15A(1)(qq) of the Act. The assessing authoritylevied penalty under the aforesaid section for the month of October, 1999,both under the U.P. and the Central Sales Tax Act, 1956 on the groundthat the dealer-applicant having not admitted any tax realised the tax fromcustomers for the month of October, 1999 in U.P. and in Central. The applicant is a private limited company and c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t on the facts the provision of section 15A(1)(qq) of the Act are not attracted. Secondly, the amount thus realised from the purchaser has been deposited by the dealer. Therefore, no penalty under the aforesaid section could be levied. In contra learned Standing Counsel submitted that the applicant being the eligibility certificate holder, the turnover being exempted, there was no occasion for the dealer to realise the tax from the purchaser and, as such, levy of penalty is fully justified. Section 15A(1)(qq) of the Act provides levy of penalty if the assessing authority is satisfied that any dealer or other person realised any amount as sales tax or purchase tax and any amount in lieu of sales or purchase tax by giving it a different name ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... STC 487, for the proposition that tax become payable when the liability to pay tax arises and liability to pay tax arises by the happening of taxable events. The taxable events under the U.P. Sales Tax Act are sale of goods or their supply or distribution by way of sale. It is not necessary to wait until assessment is completed in order to say that the tax has become payable. There is distinction between the expressions "tax payable" and "tax due". The tax is due when it becomes a debt owed to the taxing State, it becomes debt when it has been determined by assessment and quantified and a notice of demand has been issued intimating the amount of tax and demanding payment. The realisation of tax has been sought to be jus ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able from the purchasing dealer by the selling dealer contravenes section 8A(2)(b) of the Act. To judge the contravention of section 8A(2)(b) of the Act the relevant point of time is taxable events. In the present case the taxable events are during the month of October, 1999 and, as such, taking the practical view of the matter, it cannot be said that the dealer has contravened section 8A(2)(b) of the Act. The Tribunal was of the view that in such a circumstance the dealer should have deposited the amount under protest along with monthly return. It has further recorded a finding that non-deposit of the amount, thus realised by the dealer, is violative of section 29A(1) of the Act. The present proceeding arises out of the order passed under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... x. Argument was also raised that the dealer has deposited the amount of tax thus realised for the month of October, 1999 both in respect of U.P. Sales Tax as well as Central sales tax. Reliance has been placed by the learned counsel upon Kalu Ram Raghunath Das v. Commissioner of Sales Tax [1995] UPTC 403 and Commissioner of Sales Tax v. State Trading Corporation of India [1999] UPTC 1024. In these cases it has been held that where the registered dealer realised purchase tax and deposited the same, no penalty can be levied under section 15A(1)(qq) of the Act. In the present case there is no clear-cut material on record to conclude that the dealer applicant has deposited the tax, thus realised. A reference was made by learned counsel of a c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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