9911796707
TMI Blog2014 (7) TMI 577X X X X Extracts X X X X X X X X Extracts X X X X ..... unt is claimed, in the bottom, a seal is put saying that the tax is collected at 12.5 per cent and the amount of tax. That is not what is prescribed under the law. If the assessee could mention the rate of tax and the amount of tax payable, he should have mentioned the same after mentioning the value of the goods and then he should have added. Then only he would be entitled to the benefit of deduction of tax from the total value mentioned in the bill. His mentioning in the books of account in a separate column, the value of the goods and the value of the tax cannot be given due weightage because what should be mentioned in the books of accounts is what is mentioned in the bill. When in the bill, he has not mentioned the value of goods and v ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l purchases of cigarettes, supari, gutkha, confectionery, tobacco, etc., from the local RDs. The assessee has claimed input-tax credit on the local purchases. The assessee has effected mainly local sales of cigarettes, supari, gutkha, confectionery, tobacco, etc. The assessing authority on verification of the books of accounts with reference to the VAT-100 observed that the assessee has not collected the VAT separately in the tax invoice as required under section 9(1) of the KVAT Act, 2003 and rule 29(1) of the KVAT Rules, 2005 for the tax period from April 1, 2007 to March 31, 2008. But while declaring the turnovers and taxes in form VAT-100, the assessee has bifurcated/deviled the total amount of the tax invoice into net turnover and tax. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r. The collection of tax in the tax invoice is mandatory to the registered dealers as required under section 9(1) of the KVAT Act, 2003 and rule 29(1) of the KVAT Rules, 2005. Therefore, the assessing authority held that the assessee is liable to pay tax on the entire sales turnover as per the Act and penalty was also imposed. 3. Aggrieved by the said order the assessee preferred an appeal before the Joint Commissioner of Commercial Taxes (Appeals), Belgaum Division, Belgaum. The appellate authority after looking into section 9 of the KVAT Act, 2003 and rule 29 of the KVAT Rules, 2005 and referring to the judgments relied upon held that in the instant case, the issue relates to the granting of deduction on taxes collected. The issue did ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... x invoice after the sale value of the goods and accounted in the books of accounts in the aforesaid manner, the deduction towards the value added tax collected on the inclusive basis in the gross value of the goods sold is not admissible. Therefore, he set aside the order of the appellate authority and restored the order of assessment. Aggrieved by the said order the assessee is before us. 5. The learned counsel for the appellant assailing the impugned order of the revisional authority contends that as it is clear from the bills, which is not in dispute, the assessee has mentioned in each bill that the selling price includes VAT at 12.5 per cent. Thereafter in the books of accounts maintained, the cost price of the goods sold and the tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9. Collection of tax by registered dealer, Governments and statutory authorities.- (1) Every registered dealer liable to pay tax under the Act shall collect such tax at the rate or rates at which he is liable to pay tax, and the tax collected shall be accounted for under the provisions of this Act and Rules made thereunder. (2) The Central Government, a State Government, a statutory body or a local authority shall, in respect of any taxable sale of goods effected by them, collect by way of tax any amount which a registered dealer effecting such sale would have collected by way of tax under this Act, issue a tax invoice, pay the tax so collected into the Government Treasury or any designated bank and furnish monthl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his form then, he will be eligible to claim the deduction from the total amount. 11. Admittedly, in the instant case, in the bills and invoices raised by the assessee, the value of the goods is not mentioned, the rate of tax on the said value of goods and the amount of tax is not mentioned. The total is not arrived at by adding the value of goods and tax. On the contrary in the bills and invoices a particular amount is claimed, in the bottom, a seal is put saying that the tax is collected at 12.5 per cent and the amount of tax. That is not what is prescribed under the law. If the assessee could mention the rate of tax and the amount of tax payable, he should have mentioned the same after mentioning the value of the goods and then he shou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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