TaxTMI 
TaxTMI 
2020 (1) TMI 753
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....ssed by the Trade Tax Tribunal in Second Appeal No. 43 of 2006 and Second Appeal No. 44 of 2006, whereby the appeals preferred by the revisionist were rejected. These revisions relate to assessment years 2001-02 and 2002-03. 3. The facts of the case in brief are that assessee/revisionist is a firm engaged in the business of buying and selling "Vanaspati, other edible oils, sugar etc.". The revisionist firm is registered under Section 8-A of U.P. Trade Tax Act as well as under Section 7 of the Central Sales Tax Act. The revisionist established a Cold Storage under the name and style of Shreenathji Cold Storage, Wazirganj, Budaun as a branch of the head office at Allahabad and accordingly moved an application for the amendment of the regis....
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....unication in this regard was made to the revisionist, thus, the applicant was under the bonafide belief that the applicant was authorized to import the goods in question against Form-C, and therefore no violation of any provision has been made by him for which he can be penalized under Section 10-A of the Central Sales Tax Act. 7. The Assessing Authority however did not accepted the explanation of the revisionist and imposed penalty in exercise of powers under Section 10-A of the Central Sales Tax Act, holding that the revisionist had imported machines and parts thereof on Form-C without having been duly authorized in this regard and imposed penalty to the tune of Rs. 1,30,000.00 under Section 10-A of the Central Sales Tax Act by order d....
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....on to evade tax and therefore the orders passed by the Assessing Authority, the first Appellate Authority as well as Tribunal were arbitrary and have not considered the case of the revisionist in proper perspective and therefore the penalty imposed upon him is liable to be set aside. 11. Learned Standing Counsel appearing on behalf of Revenue on the other hand has submitted that under the scheme of the Central Sales Tax Act it is mandatory that certificate of registration should assign list of items which are purported to be dealt by the assessee. He further submitted that the application in this regard was preferred by the revisionist but no orders in this regard have been passed in favour of the revisionist and therefore in absence of ....
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....he Apex Court's judgment in the case of Commissioner of Sales Tax, U.P. Vs. M/s Sanjiv Fabrics, 2010 NTN (Vol. 44) 69, to canvass his submissions. In paragraph 22 of the said judgment, the Court has held as under : "22. In view of the above, we are of the considered opinion that the use of the expression "falsely represents" is indicative of the fact that the offence under Section 10(b) of the Act comes into existence only where a dealer acts deliberately in defiance of law or is guilty of contumacious or dishonest conduct. Therefore, in proceedings for levy of penalty under Section 10- A of the Act, burden would be on the revenue to prove the existence of circumstances constituting the said offence. Furthermore, ....
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....Court had lost sight of the fact tha the dealer had used Form 'C' to import items like sutli, tat etc., in addition to the cotton waste. Assuming that the dealer was of the bona fide belief that cotton included the cotton waste, it is hard to believe that there was some confusion in the mind of the dealer in so far as other items were concerned. Similarly, in the second set of appeals, it is evident from the impugned judgment that the High Court has not examined the explanation furnished by the dealer that they were under a bona fide belief that they were authorized to purchase oil seeds against Form 'C' issued to them regularly by the department without any objection. It is manifest that the High Court proceeded to examine the cas....