9911796707
TMI Blog2007 (11) TMI 574X X X X Extracts X X X X X X X X Extracts X X X X ..... cess over his liability, necessarily he should be given refund of the amount after adjusting any balance due or surcharge due under the order of assessment. In this case, there is a further liability on the assessee to pay surcharge. Therefore, whatever excess amount paid by him has to be adjusted against the surcharge payable and if there is any further excess, necessarily the assessee is entitled for refund of the same. The confirmation under section 7(12) of the Act in such circumstances, is wholly unauthorised and without juris- diction. The assessment orders to the extent confirmation under section 7(12) are set aside. - - - - - Dated:- 22-11-2007 - RAMAN P.R. , J. P.R. RAMAN J. These writ petitions are filed by different asse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the quantum of the excess amount paid. The petitioner, after completion of the assessment, demanded that what- ever excess amount he has paid over the tax liability, may be adjusted towards surcharge payable and to refund the balance amount due to him. Exhibits P6 to P9 are the applications submitted before the Sales Tax Officer. But the Sales Tax Officer by a one line order, exhibit P11 dated February 8, 2000, informed the petitioner that the assessment orders have been passed strictly in accordance with law and no modification is required. No reasons are stated. Curiously enough for non-payment of surcharge, the petitioner is also levied interest payable thereon. In the other original petitions, though applications were made, no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... behalf of the State would contend that by virtue of section 7(12) of the KGST Act, the assessee will not be entitled for refund, as evidenced by the order of assessment produced in the case. According to him, this court in the earlier decision had no occasion to refer to the provisions contained in section 7(12) of the Act. Therefore, whether by virtue of section 7(12) of the Act, confirmation of the excess tax paid without refunding the same or adjusting the same against the surcharge payable arises for consideration. Section 7(12) of the KGST Act reads as follows: After the close of the year or at the completion of the works contract and on receipt of final statement of accounts and return, if the tax on purchases is found to be in e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r section 7 of the Act wherein the question of any deduction of tax does not arise. Further the assessee has no option in the matter of deduction at source, since even the statute mandates the awarder to deduct at source. So ultimately if it is found, at the time of assessment, any further tax liability, certainly the assessee will be obliged to pay such excess and if it is found that such tax paid before the completion of the assessment is in excess over his liability, necessarily he should be given refund of the amount after adjusting any balance due or surcharge due under the order of assessment. In this case, there is a further liability on the assessee to pay surcharge. Therefore, whatever excess amount paid by him has to be adjusted a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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