2015 (12) TMI 574 - HC - VAT and Sales Tax

High Court Allows Appeal on Input Tax Credit Procedure under Haryana VAT Act

Mahadev Enterprises Versus State of Haryana and others

Mahadev Enterprises Versus State of Haryana and others - [2015] 76 VST 273 (P&H) Issues:1. Appeal against orders passed by the Haryana Tax Tribunal under the Haryana Value Added Tax Act, 2003.2. Dispute over the application of section 33(3) of the Haryana Value Added Tax Act, 2003 in ex parte cases.3. Interpretation of provisions of section 33(3) of the VAT Act regarding the filing of returns and balance sheets.4. Decision of the Tribunal to proceed ex parte in the presence of proxy counsel.Analysis:1. The appellant filed an appeal against orders passed by the Haryana Tax Tribunal under the Haryana Value Added Tax Act, 2003. The Tribunal dismissed the appeal, leading to the present appeal before the High Court. The primary issue was whether the dealer could file tax invoices and forms VATC-4 at the appellate stage to claim input tax credit and whether this would require a redetermination of the dealer's liability.2. The appellant argued that no notice for disposal of the remand case was sent, preventing the submission of invoices and forms VATC-4. It was contended that the appellant possessed these forms and should be allowed to submit them before the Assessing Authority. The court noted that the issue had been settled in previous cases, including Vijay Cottex Ltd., Panipat v. State of Haryana and Jai Hanuman Stone Crushing Mills, Bhiwani v. State of Haryana, where it was held that the dealer could produce form VATC-4 and tax invoices before the assessing authority for verification and a fresh order.3. The court referred to the decisions in Vijay Cottex Ltd., Panipat and Jai Hanuman Stone Crushing Mills, Bhiwani, both decided on December 19, 2013, to dispose of the present appeal in the same terms. It was established that the dealer was entitled to produce form VATC-4 and tax invoices before the assessing authority for reevaluation and a fresh order in accordance with the law. The appeal was decided in favor of the appellant based on the precedents set by the aforementioned cases.4. The judgment highlighted the importance of allowing dealers to submit necessary documentation at the appellate stage to claim input tax credit and have their liability reassessed accordingly. The court's decision was based on established legal principles and previous judgments, ensuring a fair and just resolution in line with the provisions of the Haryana Value Added Tax Act, 2003.