TaxTMI 
TaxTMI 
2017 (12) TMI 1012
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....he respective parties, the petition is taken up for final hearing today. 2. In the present writ petition under Article 226 of the Constitution of India, the petitioner has prayed for quashing and setting aside the notices dated 13.11.2017 and 15.11.2017 relating to the assessment year 2012-13 issued by respondent no.2 under section 44 of the Gujarat Value Added Tax Act, 2003 (hereinafter referred to as "the Act") attaching the Current Account no.01772000012366 of HDFC Bank, Jamnagar and Cash Credit Account No.87390 of Punjab National Bank, Jamnagar. The petitioner is a proprietorship concern engaged in the business of trading in brass scrap and other similar items. During the course of assessment proceedings for the period 2012-13, show ....
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....ority, that is, Deputy Commercial Tax Commissioner, Rajkot by way of first appeal under section 73 of the Act, along with the stay application. Thereafter, the petitioner, vide E-mail/ notice dated 22.8.2017, was called upon by the first appellate authority for hearing on 6.9.2017 at 11.30 AM. However, on the said date, the first appellate authority was not present and hence, the appeal was adjourned. Again the petitioner was intimated to remain present for hearing on 13.10.2017, but the authority was not available on the said date too; neither any order could be passed on stay application nor the petitioner was intimated about the next date of hearing. 5. Subsequently, respondent no.2, by the impugned notice dated 13.11.2017 issued unde....
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....te authority, but the authority was not present on either of the dates. Reliance is placed by him on the judgment dated 17.10.015 passed in Special Civil Application No.13641 of 2015 in this regard and it is submitted that in the backdrop of such a fact situation, the action of issuance of impugned notices was uncalled for. 8. Per contra, Mr.Hardik Vora, learned Assistant Government Pleader has urged that the impugned notices issued under section 44 of the Act attaching the bank accounts of the petitioner are justified. Laying emphasis on clause (b) of sub-section (1) of section 44 of the Act, the learned AGP submitted that the banks in which the petitioner is holding his accounts can be said to be 'person' holding money for or on accoun....
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.... specified in the notice (but not before the monies becomes due or is held as aforesaid) so much of the monies as is sufficient to pay the amount due by the dealer in respect of the arrears of tax, penalty or interest under this Act, or the whole of the money when it is equal to or less than that amount. Explanation.- For the purposes of this sub-section, the amount of monies due to a dealer from, or monies held for or on account of a dealer by any person, shall be calculated by the Commissioner after deducting therefrom such claims, if any, lawfully subsisting, as may have fallen due for payment by such dealer to such person. (2) The Commissioner may amend or revoke any such notice or extend the time for making any paymen....
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....rds the outstanding amount of tax, interest and penalty payable by the dealer." Under clauses (a) and (b) of sub-section (1) of section 44 of the Act, the Commissioner is empowered to issue notice requiring any person from whom any amount of money is due or may become due or who subsequently holds money on account of such dealer in respect of the arrears of tax, penalty or interest under the Act. A plain and simple reading of the aforesaid provisions will suggest that the power under the same is to be exercised when there is a person who has debtor-creditor relationship with the dealer and from whom his money is due or may become due to him or the person who holds or may subsequently hold money for or on account of such dealer. In the af....