1962 (8) TMI 57

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... is liable to pay the arrears of tax due from Nagappa. The petitioner denies his liability to pay the tax in question. When he resisted the applications, the learned Magistrate refused to entertain his objections on the ground that no such objection could be taken before him in view of section 32 of the Mysore Sales Tax Act, 1957. The question for our decision is whether section 32 is applicable to the facts of the present case. It is admitted that the petitioner was not assessed to tax though his alleged transferor was assessed to tax. It is also admitted that before proceeding against the petitioner, no opportunity had been given to him by the Sales Tax Authorities for establishing that he (petitioner) was not liable to pay the amount ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ree different types of liabilities are created, (1) liability to pay the tax assessed or levied, e.g , under sections 12 and 12-A; (2) liability to pay the fee or other amount levied, e.g., under sections 16 and 17; and (3) the liability to pay the amount due, e.g., under sections 14 and 15. The reason behind the ban contained in section 32 is that before steps are taken in Criminal Courts, the appropriate authorities and Tribunals would have determined, after hearing the interested parties, the tax or fee to be levied and, therefore, there is nothing to reagitate the question of the validity of the assessment of tax or levy of any fee or other amount or the liability of any person to pay any tax, fee or other amount so assessed or levied. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....due". That we think, as it ought to be. In the instant case, as seen earlier the petitioner disputes his liability to pay the amount demanded. Therefore the learned Magistrate ought not to use his coercive powers to realise the amount claimed, unless he is satisfied that the amount claimed is due. The learned counsel for the Department offered to have the petitioner's objections examined by the Commercial Tax Officer, and that in the presence of the petitioner. But such an enquiry would be outside the scope of the Mysore Sales Tax Act, 1957, and the petitioner will not have any right of appeal against the order of the Commercial Tax Officer. But, on the other hand, if the Magistrate is required to go into the question of the liability of....