VAT transport penalty unsustainable where invoice and GR accompanied goods, and Tribunal's factual finding was found plausible.

Penalty for alleged VAT transport non-compliance was held unsustainable because the goods were accompanied by the invoice and GR, and the record showed carriage of two consignments. The Tribunal's view that the essential movement documents had accompanied the goods was found plausible, while the absence of a purchase voucher or e-trip particulars did not justify penalty on the facts. The High Court found no perversity, misreading of evidence, or erroneous factual premise in the Tribunal's order deleting the penalty, so the deletion was upheld.

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Issues: Whether the penalty imposed for alleged non-compliance during transport of goods under the Value Added Tax law was justified, and whether the Tribunal's deletion of the penalty gave rise to any substantial question of law.

Analysis: The goods in the intercepted vehicle were supported by the relevant invoice and GR, and the record showed that two consignments were being carried. The Tribunal found that the essential requirement that the bill and GR accompany the goods during movement had been satisfied. The alleged defect regarding absence of purchase voucher or e-trip particulars did not justify penalty on the assessee in the facts found, especially when the authorities had proceeded on an incorrect factual premise and the finding of fictitious billing was not supported by the material on record. The High Court found no perversity, misreading, or erroneous appreciation of evidence in the Tribunal's view, which was a plausible one.

Conclusion: The penalty was not sustainable, the Tribunal's order deleting it was upheld, and the appeal failed.

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