TaxTMI 
TaxTMI 
1997 (1) TMI 505
X X X X Extracts X X X X
X X X X Extracts X X X X
....as also sought a direction to the effect that no penalty or interest be levied on account of non-payment of the dues relating to the assessment year 1976-77. 2.. The assessee-firm was engaged in the business of manufacture and sale of textile and vanaspati ghee. After assessment for the year 1975-76, an additional sales tax liability was created, vide assessment order dated April 10, 1980. In appeal, the tax liability was, however reduced by Rs. 33,558 by the Deputy Excise and Taxation Commissioner (Appeals), vide order dated November 10, 1980. The petitioner-company filed an application dated February 9, 1981 requesting the Excise and Taxation Officer to give it the refund amount of Rs. 33,558. Thereafter, assessment for the next ass....
X X X X Extracts X X X X
X X X X Extracts X X X X
....oner regarding any suo motu action taken by him for withholding the amount of refund. It is contended that the amount of refund could not be withheld inasmuch as no appeal or revision or any other proceeding was pending against the appellate order passed by the Deputy Commissioner on November 10, 1980. The Assessing Authority has also not passed any order showing satisfaction that the refund was likely to adversely affect the recovery. The assessing authority has, on the other hand, threatened the petitioner-company with penalty proceedings under section 11(8) and proceedings to levy interest under section 11-D of the Act. 5.. The respondents have, in their joint reply, conceded that an amount of Rs. 33,558 was withheld under section 12(....
X X X X Extracts X X X X
X X X X Extracts X X X X
....Excise and Taxation Commissioner (Appeals) on November 10, 1980. The remark, made by the assessing authority that some suo motu action was pending, carries no weight or significance unless it is shown that any such proceeding was pending before any authority under the Act. Nothing has been brought on record to indicate that any proceeding under the suo motu action was pending before the Excise and Taxation Commissioner. Under section 21(1) of the Act, the Commissioner may, of his own motion, call for the record of any proceedings which are pending before any authority or which have been disposed of by any authority subordinate to him, for the purposes of satisfying himself as to the legality or propriety of such proceedings or order made th....
X X X X Extracts X X X X
X X X X Extracts X X X X
....as been withheld under section 12(6) of the Punjab General Sales Tax Act, 1948, till the decision of suo motu action in your case by the Excise and Taxation Commissioner, Punjab, Patiala, vide his order dated July 9, 1981. The said amount already due for the year 1976-77 should, therefore, be deposited immediately to avoid further penal action under section 11(8) and 11-D of the Punjab General Sales Tax Act, 1948." 11.. The Assessing Authority, while withholding the amount of refund, did not record his satisfaction that the refund was likely to adversely affect the recovery. As has already been seen, sub-section (6) of section 12 of the Act requires the Assessing Authority to form an opinion that the refund is likely to affect the rec....