2005 (8) TMI 655

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....r in two wheelers and he paid the tax under the Tamil Nadu General Sales Tax Act, 1959 for the sale of its vehicles, without paying entry tax under the provisions of the Tamil Nadu Tax on Entry of Motor Vehicles into Local Areas Act, 1990 for use or sale. Thereafter, the Deputy Commercial Tax Officer, Thanjavur levied tax for the vehicles brought into the local area and gave set-off of the Tamil Nadu general sales tax amount paid in respect of the sale of the vehicles by the dealer. Thus, there is a balance amount of one per cent of the sale value. For the same, penalty under section 15(1) for a sum of Rs. 5,89,590 and penalty under section 15(2) for a sum of Rs. 5,35,068 has been imposed by the Deputy Commercial Tax Officer by order dated ....

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....visions of this Act, there shall be levied and collected a tax on the entry of any motor vehicles into any local area for use or sale therein which is liable for registration, or for the assignment of a new registration mark, in the State under the Motor Vehicles Act, 1988 (Central Act No. 59 of 1988). Sub-section (1) of section 4 provides for reduction in tax liability which reads where an importer of a motor vehicle liable to pay tax under this Act, being a dealer in motor vehicles, becomes liable to pay tax under the General Sales Tax Act and additional sales tax under the Tamil Nadu Additional Sales Tax Act, 1970 (Tamil Nadu Act No. XIV of 1970) by virtue of the sale of such motor vehicle, then his liability under those Acts shall be....

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....r the provisions of this Act to pay it, the assessing authority may, after giving such person a reasonable opportunity of being heard, by order in writing, impose upon him by way of penalty, in addition to the amount of tax and penalty under sub-section (1), a sum equal to,- (a) one and one half per cent, of the amount of tax for each month for the first three months, after the last date by which the person should have paid that tax, and (b) two per cent, of the amount of tax for each month thereafter during the time the person continues to make default in the payment of tax." As already stated, it is the admitted case of the petitioner that the entry tax has not been paid by the petitioner as per the statute. The statute cannot be....