Court orders fresh assessment, emphasizes natural justice principles.

The Court allowed the Writ Petitions, set aside the impugned assessment orders, and remanded the matter to the respondent for fresh consideration. The respondent was directed to fix a date for a personal hearing, hear the petitioner in person, peruse the records, and redo the assessment in accordance with the law. The Court emphasized the importance of following principles of natural justice in such proceedings.

---

---

Issues:
Challenge to assessment orders under CST Act for the years 2014-2015 / 2013-2014, Allegations of suppressed transit sales turnover, Allegations of wrongly claimed exemption under Section 6(2) of the CST Act, Proposal to levy penalty under Section 9(2) of the CST Act, Violation of principles of natural justice.

Analysis:

Challenge to Assessment Orders:
The petitioner, a registered dealer under the TNVAT Act and CST Act, challenged the assessment orders for the years 2014-2015 / 2013-2014. The respondent alleged suppression of transit sales turnover and wrongly claimed exemption under Section 6(2) of the CST Act. Additionally, there was a proposal to levy penalty under Section 9(2) of the CST Act.

Allegations and Objections:
The respondent issued show cause notices alleging suppressed transit sales turnover and wrongly claimed exemption. The petitioner filed objections stating that all sales were duly admitted in returns and tax liability was remitted. They requested an opportunity to produce records to show tax payment. The petitioner denied wrongly claiming exemption and submitted buyer declaration Forms to support their position.

Violation of Natural Justice:
The impugned assessment orders did not grant a proper opportunity for the petitioner to be heard. The respondent proceeded with the assessment without fixing another date for a personal hearing, despite the petitioner receiving the notice late. The Court found a violation of principles of natural justice as the petitioner was not given adequate opportunity to present their case.

Court Decision and Remand:
The Court allowed the Writ Petitions, set aside the impugned orders, and remanded the matter to the respondent for fresh consideration. The respondent was directed to fix a date for a personal hearing, hear the petitioner in person, peruse the records, and redo the assessment in accordance with the law. The Court emphasized the importance of following principles of natural justice in such proceedings.

This detailed analysis of the judgment highlights the issues involved, the allegations made, the objections raised by the petitioner, the violation of natural justice, and the Court's decision to remand the matter for a fair assessment process.

---