TaxTMI 
TaxTMI 
2015 (9) TMI 1153
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....e House, Ganeshkhind 390103000001045 5 HDFC Bank Ltd Koregaon Park branch 50200001320520 6 IDBI Andheri Link Rd. Mumbai 0174102000008587 7 IDBI Kalkaji-Branch, New Delhi 0901102000022701 8 IDBI N. G. Road, Cochi, Cochin 0084102000020730 9 IDBI Banjara-Hills, Hyderabad br. 028102000015358 10 IDBI NelsonManickum Rd. Chennai br. 045102000029962 11 IDBI NelsonManickum Rd. Chennai br. 045102000016694 12 IDBI Mission Road, Banglore 008102000044101 2. The order directs that the amounts shall remain provisionally attached until further orders. Any amount shall not be paid, unless this order is withdrawn or communication to that effect is made by the Joint Commissioner of Sales Tax,(VAT Administration) Pune. Further stipulations in the order are to be found at page no.35. The order further directs that if any such payment is made, such a person shall be personally held liable to the Commissioner of Sales Tax, Maharashtra State, Mumbai and the said amount shall be recovered as an arrears of land revenue as per the provisions of Maharashtra Land Revenue Code, 1966 and appropriate legal action will be initiated as per the provisions of law. The dealer ....
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....he Rajasthan High Court started charging VAT at the rate of 5% and not 12.5% on rafters and rigid frame columns. 5. The Petitioner also invoked the procedure for determination of disputed question (DDQ) under the MVAT Act, 2002 for one of the products supplied by it i.e. rigid frame columns. The Petitioner applied to the Commissioner of the Sales Tax by DDQ application dated 11th August, 2010. Annexure-C to this Writ Petition, is a copy of this DDQ application. There is an order passed by the Commissioner on 9th July, 2013 holding that the rigid framed columns do not fall under the entry claimed by the Petitioner, and therefore, liable to be taxed at the residual rate of 12.5%. Against this order, an Appeal was filed by the Petitioner in 2013 itself and it is common ground that this Appeal is pending before the Maharashtra Sales Tax Tribunal. 6. A search and seizure notice was issued on 10th August, 2015, and records and information as requested by the Sales Tax Department came to be produced. Some of the documents were seized. The seized documents are stored in the Petitioner's premises but with a seal. The statements of the various employees of the Petitioner were recorded,....
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....ny money due or which may become due to the dealer from any other person or any money which any other person holds or may subsequently hold for or on account of dealer in this case. Thus, the power, authority and jurisdiction of the Joint Commissioner has not been challenged. If any order has been passed under subsection (1) and served, then, by subsection (5) of Section 35 there is remedy provided and the Commissioner may modify or cancel that order. An Appeal against such an order shall lie to the Tribunal. Hence, Mr Sonpal, would submit that the Writ Petition should not be entertained and in any event it should not be entertained so as to prevent the Joint Commissioner from protecting the interest of the Revenue. The Joint Commissioner is satisfied that this dealer may not be in a position to discharge the liability in the event of their loss in the Appeal before the Tribunal. The dealer is seeking to question the action of the Revenue belatedly in 2011 and raised a frivolous dispute which has been determined by the Commissioner. In the teeth of such overwhelming adverse material, the Petitioner cannot be heard to say that the Joint Commissioner could not have acted in order to ....
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....he Commissioner has delegated such powers by a notification published in the Official Gazette. (4) Where an order under subsection (1) is served upon any person, provisionally attaching any money, then, such person shall be personally liable, so long as the attachment order is not revoked or has not ceased to have effect, to pay to the Commissioner, the amount of money so attached. (5) If the said person or the dealer makes an application in the prescribed form to the Commissioner within fifteen days of the date of service of the order specified in subsection (1), or as the case may be, within fifteen days of the date of service of the order extending the period under subsection (2), then the Commissioner, after affording such person or dealer a reasonable opportunity of being heard, and, having regard to the circumstances of the case, may confirm, modify or cancel the order. (6) An appeal against any order passed under subsection (5) shall lie with the Tribunal and all other provisions of section 26 shall apply accordingly." 13. For any action in terms of this section to be taken, firstly there ought to be an inquiry in any proceedings including the proceedings relating to ....
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.... and sold it at an incorrect tax rate. This was the discrepancy noticed during the course of the investigating visit. According to him, the dealer has failed to act as per the provisions of law. We find absolutely no reference made by the Joint Commissioner to the admitted and undisputed factual position, namely, since 2011 the Petitioner entertained the doubt about the rate at which tax is to be levied and collected, and therefore, requested the Commissioner to determine a disputed question and issue. That determination ended in an order dated 9th July, 2013 adverse to the Petitioner. However, this order is challenged in Appeal before the Tribunal and that Appeal is pending. In such circumstances, and that the dispute being as old as 2011, coupled with the fact that the Commissioner's order is of 9th July, 2013 and against which an Appeal has been preferred by the Petitioner in the Tribunal which is pending since September 2013, then, we do not see what was the occasion to exercise the powers under Section 35. It may be that a search of the premises was conducted and that production and inspection of accounts and documents was directed, and thereafter, the same came to be refe....