TaxTMI 
TaxTMI 
2015 (3) TMI 178
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....present applicant/appellant to M/s Escorts Ltd. Faridabad, on cancellation of the agency and the bills had been duly verified with books of accounts by the assessing authority at the time of assessment, then penalty under Section 14-B(7)(ii) of PGST Act on the ground that the goods were not accompanied by proper and genuine documents shall be sustainable." Brief facts of the case are that truck No. PLS-9349 carrying goods while leaving the State of Punjab was intercepted and checked by the ETO at ICC Shambhu on 06.05.2001. The truck driver reported at the ICC while leaving the State of Punjab. On production of documents relating to the goods i.e. tractor parts the detaining officer observed that the documents were not proper and genuine. A....
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....sessing authority at the time of assessment, then penalty under Section 14-B(7)(ii) of PGST Act on the ground that the goods were not accompanied by proper and genuine documents shall be sustainable." The High Court, vide its order dated 30.04.2010 in VATREF No. 2 of 2008 held that the reference made needed further examination by the Tribunal, therefore, remitted the case to the Tribunal for a fresh statement of case and questions to be framed on the basis of facts given in the first order of the Tribunal. It is in the aforementioned circumstances that the brief facts of the case, as have been referred to above, were prepared. The order of reference further mentions that as per argument of the counsel for the appellant, the appellant was ....
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....nd 1656 to 1681 had accepted the position as taken by the appellant and framed assessment vide order dated 05.05.2008. A copy of the assessment order dated 05.05.2008 has been produced before us. A relevant extract of the same is reproduced below:- "The books produced by the firm have examined at length and during the course of examination of books of accounts it was noticed that the dealer has made goods returned to Escorts Ltd., Faridabad on cancellation of agency/dealership through bill Nos. 1655, 1656 to 1681 are in continuation and the same are for Rs. 558557/-. These bills were duly cross verified with books of accounts. The goods returned as mentioned above is ....
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....uments. Likewise, perusal of order dated 06.08.2002 passed by the Joint Director (Enforcement), Patiala Division, Patiala, in appeal filed by the assessee, was on the basis that there was no mention of stock transfer in the bills accompanying the goods and the bills in question not having been issued from regular bill book and the appellant had failed to establish the bona fide of the documents, therefore, it was held to be an attempt had been made to evade tax. The AETC, ICC, (Export), Mehmoodpur, had imposed a penalty of Rs. 1,65,000/- vide order dated 27.11.2001 by observing that bill No. 1661 to 1700 had been issued and that said bill book had been produced but the said bill book did not find mention in the current account books and fur....
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....Faridabad, on cancellation of the agency, there was no question of there being any attempt to evade tax. A perusal of Section 14(B)7 (ii) of the Act reveals that the sine qua non for imposing penalty is a conclusion on the basis of an enquiry by the concerned officer that there has been an attempt to avoid or evade tax under the Act. The bill Nos. 1655, 1656 to 1681 were produced before the AETC, ICC, (Export), Mehmoodpur, alongwith bill books. However, the same was disbelieved on the ground that the bill book did not find place in the current account books. Once the assessing authority has finalized the assessment proceedings vide order dated 05.05.2008 by accepting the stand of the assessee that the appellant had returned the goods to M/s....