9911796707
TMI Blog2024 (1) TMI 131X X X X Extracts X X X X X X X X Extracts X X X X ..... proceedings can be initiated independently in terms of provisions of Section 16 (2) of the Tamil Nadu General Sales Tax Act, 1959 - In the present case on hand, the penalty proceedings were initiated under Section 27 (3) of the TNVAT Act and the provisions of Section 27 (3) of the TNVAT Act and Section 16(2) of the TNGST Act are similar. A reading of the provisions of Section 27 (3) of the TNVAT Act and Section 16(2) of the TNGST Act would make it very clear that unless there is a definite finding as to the wilful non-disclosure of taxable turnover, the assessing officer will have no jurisdiction to impose the penalty. Therefore, this Court is of the considered view that once the Assessment Order is passed, without imposing penalty, subs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ut should form part of the order made under Section 27 (1)(a) of the TNVAT Act. He further submitted that in these cases, the revision of assessment for the Assessment Years 2010-11 to 2014-15 were passed on 18.03.2020 and in those orders no penalty under Section 27 (3) of the TNVAT Act was levied, but only through the notice dated 5.12.2022, the 1st Respondent proposed to levy penalty under Section 27 (3) of the TNVAT Act. He therefore submitted that the 1st Respondent having passed the Assessment Orders without imposing penalty, at a later point of time cannot change his view and initiate independent proceedings for imposition of penalty, which is not permissible under the provisions of the TNVAT Act. In support of his contentions, he rel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ary proceedings were initiated by the Respondents by virtue of issuing notice on 05.12.2022 and thereafter Assessment Orders were passed on 18.03.2020 and subsequently, impugned orders, dated 15.03.2023, imposing penalty under Section 27 (3) of the TNVAT Act came to be passed on 15.03.2023. The Division Bench of this Court in the case of The Deputy Commissioner (C.T.), Coimbatore Vs. V.S.R.Ramaswami Chettiar and Bros reported in [1976] 38 STC 382 has held as follows. ....But, on the other hand, in cases falling under Section 16(2) unless there is a definite finding as to the wilful non-disclosure of taxable turnover, the assessing officer will have no jurisdiction to impose the penalty. Except for this difference, we do not fin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2(2). But section 31 did not make any specific reference because every one of the orders made under section 12 is appealable. We are, therefore, unable to hold that separate orders were contemplated under section 16(2). In fact, it was not even the case of the Government Pleader that only separate orders could be made under section 16(2). On the other hand, he contended that it was open to the assessing officer either to make a consolidated order or separate orders under section 16(2). We are, therefore, of the opinion that the Tribunal was right in holding that no separate order of penalty could be made under section 16(2). 5. A mere reading of the aforesaid judgment would make it clear that no penalty proceedings can be initiated ind ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessing authority, may, if it is satisfied that the escape from the assessment is due to wilful non-disclosure of assessable turnover by the dealer, direct the dealer, to pay in additional to the tax assessed under clause (a) of sub-section (1), by way of penalty a sum which shall be- (a) fifty per cent of the tax due on the turnover that was willfully not disclosed if the tax due on such turnover is not more than ten per cent of the tax paid as per the return; (b) one hundred per cent of the tax due on the turnover that was willfully not disclosed if the tax due on such turnover is more than per cent but not more than fifty percent of the tax paid as per the return; (c) one hundred and fifty per cent of the tax due on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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