https://www.taxtmi.com/caselaws?id=389656 A penal fiscal order under Section 45(5) of the Jharkhand Value Added Tax Act could not stand where the authority failed to consider the assessee's defence, gave no reasons, and treated the matter mechanically. The Court held that the proviso required a prior hearing and a reasoned decision, and that penalty was not automatic because the provision vested discretion as to both levy and quantum. It also noted that the revenue-neutral character of the tax component required proper examination before penalty could be imposed. The impugned assessment, demand and garnishee orders were quashed and the matter remitted for fresh decision after hearing. en-us Thu, 05 Dec 2019 00:00:00 +0530 Fri, 13 Dec 2019 17:59:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=389656 A penal fiscal order under Section 45(5) of the Jharkhand Value Added Tax Act could not stand where the authority failed to consider the assessee's defence, gave no reasons, and treated the matter mechanically. The Court held that the proviso required a prior hearing and a reasoned decision, and that penalty was not automatic because the provision vested discretion as to both levy and quantum. It also noted that the revenue-neutral character of the tax component required proper examination before penalty could be imposed. The impugned assessment, demand and garnishee orders were quashed and the matter remitted for fresh decision after hearing. Case-Laws VAT and Sales Tax Thu, 05 Dec 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=389656