TaxTMI 
TaxTMI 
2004 (9) TMI 607
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....or repeated offence, sub-section (2) in addition to penalty provides for detention of the vehicle involved for a period of thirty days. The impugned section introduced to the Act with effect from April 1, 2000 is extracted hereunder for easy reference: "45B. Penalty for transport of goods without records.--(1) If any officer empowered under sub-section (1) of section 29A finds on inspection of any vehicle or vessel that any transporting agency or contract carriage transporting any goods without the documents required under sub-section (2) of section 29, such officer may without prejudice to any action that may be taken under section 29A, impose by an order in writing on such transporting agency, or contract carriage, or the owner of the ve....
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....them. The further contention raised is that entry 54 of the State List to the Seventh Schedule to the Constitution of India which authorises the State Legislature to make law for levy of tax on sale or purchase of goods does not give authority to the State Legislature to enact section 45B affecting public carriers who are exclusively governed by Parliamentary law for public carriers, made under entry 7 of the Concurrent List. The specific contention of the petitioners is that section 45B is a colourable piece of legislation because bailment is covered by the provisions of the Contract Act and the Carriers Act, which do not provide for any such penalty and therefore section 45B has to be declared as unconstitutional, by virtue of operation o....
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....ra Sales Tax Act which cast an obligation on transporters and carriers to get themselves registered, maintain accounts of goods transported and to furnish declaration forms relating to consignments. The Supreme Court held that the objective of these provisions is to seal loopholes of avoidance of sales tax and are within the legislative competence of the State Legislature. It is to be noted that similar provisions as in Tripura Act are in Kerala whereunder transporting agencies are liable to file return in terms of section 32 of the Act read with rules 57 and 58 of the KGST Rules, 1963 which prescribed form Nos. 44 and 45 to be submitted by the owners of vehicles and transporting agencies periodically. Strangely petitioners have no challen....
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....Court in A.B.C. India Limited v. State of Assam [1996] 101 STC 401, the decision of this Court in Sunitha Diesel Sales & Services v. State of Kerala [1996] 102 STC 448; (1996) 2 KLT 571, I do not think section 45B can be declared unconstitutional or beyond the powers of the State Legislature based on these decisions. Therefore, the challenge against the constitutional validity of the section is only to be rejected and I do so. 3.. Petitioners have pointed out that levy of penalty under section 45B is in addition to penalty provided under section 29A of the Act on the owner of the goods who evades tax. Therefore according to the petitioners there is double penalty for the same transaction that is evasion of tax in respect of the same goods.....