Belated CST forms led to modified stay: partial deposit and security ordered pending appeal in revision.

Belated filing of Forms C and F under the Central Sales Tax framework, together with an application for extension of time and circulars allowing consideration on sufficient cause, justified recalibration of interim tax protection pending appeal. The High Court modified the stay by directing deposit of 10% of the demand and keeping the balance in abeyance on furnishing security, instead of maintaining a stricter stay condition.

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Issues: Whether the interim tax protection granted in appeal required modification in view of delayed filing of statutory forms and the assessee's request for extended time.

Analysis: The revision arose from an assessment under the Central Sales Tax regime and related State tax law where the assessee had furnished Forms C and F beyond the period contemplated by Rule 12(7) of the Central Sales Tax (Registration and Turnover) Rules, 1957. The record also disclosed an application seeking extension of time and departmental circulars indicating that delayed filing could be considered on sufficient cause. In these circumstances, the High Court found it to modify the existing stay arrangement instead of leaving the assessee exposed to the full demand during pendency of the appeal.

Conclusion: The stay conditions were modified by directing deposit of 10 per cent of the demanded tax, keeping the remaining 90 per cent in abeyance on furnishing security, and the revision was partly allowed.

Ratio Decidendi: Where statutory forms are stated to have been filed belatedly but the appeal is pending, interim relief may be calibrated by directing partial deposit and security rather than sustaining a harsher stay condition.

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