9911796707
TMI Blog2017 (12) TMI 203X X X X Extracts X X X X X X X X Extracts X X X X ..... 1959 (hereinafter referred as the TNGST Act ) as well as under the Tamil Nadu Tax on Entry of Motor Vehicles into Local Areas, 1990 (hereinafter referred as the Entry Tax Act ). The petitioner has filed these writ petitions challenging the orders passed by the respondent under the provisions of the Entry Tax Act, imposing penalty at 200% of the entry tax levied by invoking his power under Section 15 of the Entry Tax Act. 3.Learned counsel appearing for the petitioner submitted that the said provision viz., Section 15 of the Entry Tax Act, will not be attracted to the case on hand and on a misconception, the impugned proceedings have been passed. The following facts would be relevant for considering the correctness of the impugned order. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ected sales tax on the said amount. 5.According to the petitioner, pursuant to the inspection, the respondent presumed that the petitioner had collected entry tax from his customer in each invoice and after giving set off to the extent of sales tax due under the TNGST Act, retained the balance amount with them and sought to treat the excess amount as alleged collection of entry tax and proposed to recover the same with penalty at the rate of 200% under Section 15 of the Entry Tax Act. The issue would be as to whether such presumption is correct or not. During the course of inspection, a statement was recorded from the partners of the petitioner by the Enforcement Wing officers, wherein, it has been recorded that on verification of the sale ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Commissioner, North Zone, Chennai, in W.A.Nos.3201 to 3204 of 2004 dated 04.02.2010, the petitioner is entitled to claim refund, he has not done so. Thus, the only endeavour is to find out whether the entry tax was lying in the hands of the petitioner/dealer. 7.As mentioned above, the assessment under the TNGST Act, was completed by order dated 29.01.2004, by stating that the entry tax payable on purchase of value of Cars sold during the year is Rs. 98,81,984.00/- and out of this set off was given on the tax due at 12% on the sale value of Rs. 7,81,38,475.00/- i.e., Rs. 93,76,617.00/-, only. The excess of entry tax paid for Rs. 5,05,367.00 (i.e., 98,81,984.00 93,76,617 = 5,05,367) is not refundable as per Section 4 of the Entry Tax Act. F ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Penalty-(1) : Where any person liable to pay tax under this Act fails to comply with any of the provisions of this Act, then the assessing authority may, after giving such person a reasonable opportunity of being heard, by order in writing impose on him in addition to any tax payable, a sum by way of penalty not exceeding twice the amount of tax. Section 15(2) : If the person does not, without reasonable cause pay the tax within the time he is required, by or under the provisions of this Act to pay it, the assessing authority may, after giving such person a reasonable opportunity of being heard, by order in writing, impose upon him by way of penalty, in addition to te amount of tax and penalty under sub-section (1) a sum equal to, __ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der, the only observation is that the petitioner had collected entry tax at the rate of 13% from his customer for each invoice and after giving set off to the extent of sales tax due, the respondent has retained the balance with them. The finding rendered by the respondent in the impugned order is not supported by any material. However, from the assessment order passed under the Entry Tax Act dated 30.01.2004, it is seen that the petitioner had paid the entire 13% tax collected from his customer. While completing the assessment under the TNGST Act, vide order dated 29.01.2004, after giving set off to the dues payable under the TNGST Act, the assessing officer has specifically stated that the balance amount of Rs. 5,05,367/- will not be refu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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