2018 (1) TMI 610

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....ities and the Tribunal have penalized the revisionist for having done so by exercising its jurisdiction under Section 54(1)(5) (ii) of the Act. The order of Tribunal records that revisionist had not claimed any benefit of input tax credit for the tax paid in that regard. According to the assessee, it had duly informed the fact to the purchasing dealer about it being a registered dealer and it also disclosed its Tin Number, but it was due to inadvertent error on part of the selling dealer that instead of tax invoice only sale invoice was issued. Revisionist contended that it has not taken any advantage of amount of tax paid and there was no intent on its part to have misrepresented facts, nor there was any deliberate act on its part is not c....

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....tained tax invoice inspite of being a registered dealer while purchasing the goods liable to tax under this Act from a registered dealer; or   (iii) Not issued purchase invoice; in accordance with the provisions of this Act.   5. Sub-section (ii) of clause (5) has been invoked in the facts of the present case. Section 22 of the Act deals with issuance of tax invoice and sale invoice to be issued by a dealer. Although primarily the responsibility of issuing the tax invoice is upon the selling dealer, but responsibility is also imposed upon the purchasing dealer to disclose facts with regard to its registration and Tin Number etc. Sub-section (1) of section 22 mandates every registered dealer to issue a tax invoice. By virtue o....

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....does not arise merely upon proof of default in registering as a dealer. An order imposing penalty for failure to carry out a statutory obligation is the result of a quasicriminal proceeding, and penalty will not ordinarily be imposed unless the party obliged either acted deliberately in defiance of law or was guilty of conduct contumacious or dishonest, or acted in conscious disregard of its obligation. Penalty will not also be imposed merely because it is lawful to do so. Whether penalty should be imposed for failure to perform a statutory obligation is a matter of discretion of the authority to be exercised judicially and on a consideration of all the relevant circumstances. Even if a minimum penalty is prescribed, the authority competent....