2019 (12) TMI 465 - HC - VAT and Sales Tax

Court Orders Reassessment, Accepts 'C' and 'H' Forms

M/s. Vyplavi Granites Versus The Commercial Tax Officer

M/s. Vyplavi Granites Versus The Commercial Tax Officer - TMI Issues:Seeking issuance of a Writ of Mandamus for passing Assessment Order without granting time for objections or hearing, Inaction for not considering request for reopening assessment, Higher tax levied without supporting evidence, Delay in submitting Direct Export documents, Claim of exemption under Section 5(3) of CST Act 1956, Failure to consider 'H' forms relating to export turnover, Remand for fresh consideration, Production of 'C' forms, Tribunal's remand for examining 'H' forms, Relief sought for reopening assessment.Analysis:1) The Writ Petition was filed to challenge the Assessment Order passed under the CST Act 1956 for the year 2015-2016, alleging that it was done in a mechanical manner without granting time for objections or a hearing. The petitioner, a registered dealer, contended that higher tax was levied without supporting evidence for direct exports, resulting in a final assessment of Rs. 2,43,29,660. The petitioner also highlighted the inaction on the request for reopening assessment filed earlier.2) After receiving the Impugned Proceedings, the petitioner submitted Direct Export documents with a request to revise the assessment proceedings, explaining the delay in filing. The petitioner referred to relevant rules and previous judgments allowing rectification of omissions in assessment proceedings based on subsequently filed documents.3) The petitioner argued that the demand for the year 2015-16 was not enforceable due to the claim of exemption under Section 5(3) of the CST Act 1956, supported by Form H declarations. Citing legal precedents, the petitioner urged for a fresh assessment order, emphasizing the need to provide an opportunity to submit Form C and Form H declarations along with proof of exports.4) The Division Bench of the Court, in a similar case, set aside an order due to the failure to consider 'H' forms related to export turnover and directed a fresh assessment. Another case directed the production of 'C' forms for consideration within a specified period. The Tribunal also remanded matters to the Assessing Authority to reexamine issues after allowing the filing of 'H' forms.5) Considering the precedents and legal principles, the Court granted relief by directing the authority to reopen the assessment, accept the submitted documents, particularly 'C' form and 'H' form declarations, and pass orders within three months. Consequently, the Writ Petition was allowed without costs, with pending miscellaneous petitions to stand closed.