2009 (9) TMI 891 - HC - VAT and Sales Tax

High Court allows appeal, sets aside orders, directs payment of costs, and provides roadmap for future proceedings.

The High Court allowed the appeal, setting aside various orders and restoring the matter to the assessing officer for further proceedings. The petitioner ... - Issues: Appeal against order of Sales Tax Tribunal dismissed as barred by limitation.Analysis:The petitioners approached the High Court against an order of the Sales Tax Tribunal dismissing their appeal as time-barred. The petitioners argued that they were served with best judgment orders on April 7, 2003, but due to unforeseen circumstances of being admitted to the hospital and kept in the ICU ward on April 12, 2003, they lost sight of the orders. The business had been closed down in 2000, and the other partner, the son of the petitioner residing in England, had not taken any steps for filing an appeal. The petitioner only became aware of the non-filing of the appeal when informed of an order of attachment by the sales tax authority during a no objection certificate application process. The High Court, after considering the facts and circumstances, found that remanding the matter to the appellate Tribunals would not serve any purpose. The Court held that the petitioner had shown sufficient cause for the delay and decided to set aside the orders of the appellate authorities and assessing officer, restoring the matter to the file of the assessing officer for further proceedings.The High Court set aside various orders, including those of the Tribunal, rectification orders, first appellate authority, and ex parte assessment orders for certain assessment years. The matter was restored to the assessing officer's file, with the petitioner required to pay costs to the respondent within a specified time frame. The petitioner was directed to appear before the assessing authority on a designated date to proceed with the matter, with a strict timeline for completing the proceedings. The Court clarified that the order of attachment would continue until the final order by the assessing officer and recovery of any dues, if applicable. Additionally, the assessing officer was instructed to proceed with the proceedings without considering any time-limit under the relevant sales tax Acts, as agreed upon by both parties due to the peculiar circumstances of the case. The judgment made the rule absolute accordingly, providing a detailed roadmap for the further handling of the case.