2020 (9) TMI 3

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....re different, the issue raised in all the writ petitions is one and the same. For the assessment year 2004-05, two assessment orders had been passed and for the assessment year 2005-06, yet another assessment order had been passed. 3. The petitioner is engaged in the business of retail sales of textiles and clothing. The petitioner was carrying out renovation works in respect of their business premises in the years 2004 to 2006. Therefore, the petitioner needed to import aluminium sheets, air conditioners, etc., from other States. The petitioner was under the impression that since they are importing goods only as a one time measure for own consumption, they were not obliged to file returns under the Entry Tax Act. However, the petitioner....

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.... Tax actually paid during the year Rs. 46,532/-   2.Amount paid at the time of inspection Rs. 85,328/-   3.Penalty @ 150% --- Rs. 1,27,992 Balance to be paid Rs. -Nil- Rs. 1,27,992/-   Details Turnover Tax @ 10% Penalty @ 150% Taxable turnover assessed to tax penalty levied Rs. 3,46,646/- Rs. 34,665/- --- Amount of Tax levied for the year 2004-05 Rs. 34,665/- Rs. 51,997/- Amount paid at the time of Inspection Rs. 34,665/- Rs. -Nil- Balance payable (-) Rs. -Nil- Rs. 51,997/- Details Turnover Tax Penalty Taxable turnover assessed to tax penalty levied Rs. 4,03,929/- at 20% Rs. 80,785/- --- Amount paid ....

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.... of tax, including any interest or penalty, payable by a dealer, an importer under this Act as if the tax or interest or penalty by such importer under this Act is a tax or interest or penalty payable under the General Sales Tax Act, and for this purpose they may exercise all or any of the powers they have under the General Sales Tax Act; and the provisions of the General Sales Tax Act, including provisions relating to returns, provisional assessment, advance payment of tax, imposition of the tax liability of a person carrying on business on the transferee of, or successor to, such business, transfer of liability of any firm or Hindu undivided family to pay tax in the event of the dissolution of such firm or partition of such family, recove....

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.... (b) which shall be, in the case of submission of incorrect or incomplete return- (i) twenty-five per cent of the difference of the tax assessed and the tax paid as per the return, if the tax paid as per the return falls short of the tax assessed on final assessment by not more than five per cent; (i-a) fifty per cent of the difference of the tax assessed and the tax paid as per return, if the tax paid as per the return, falls short of the tax assessed on final assessment by more than five per cent but not more than fifteen per cent; (ii) seventy-five per cent of the difference of the tax assessed and the tax paid as per the return, if the tax paid as per the return, falls short of the tax assessed on final ass....

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....mpanies as explained in the Explanation-II of the Eleventh Schedule if the difference of tax due as per accounts and the tax paid as per the returns is less than five per cent and revised return is filed along with the difference of tax due within a period of three months from the due date for filing the monthly return]" 9. It is not the case of the department that the petitioner is a regular importer of these goods or that the petitioner had been trading in them. Therefore, non-filing of returns may not really mutter much in a case of this nature. It is true that there was omission on the part of the petitioner in making a declaration at the relevant point of time. But then, the fact remains that immediately after it was pointed out, th....

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....avasi Vs. CTO, Vandavasi, Tiruvannamali District [W.P.Nos.35019 and 35020 of 2016, dated 01.12.2016]. Thus, the conduct of the petitioner in paying the tax even at the time of inspection prior to issuance of the show cause notices can very well be taken as a factor for not imposing penalty on the petitioner. That apart, the respondent has not recorded his satisfaction that escapement of tax was due to wilful non disclosure by the assessee." 12.In this case, the following aspects projected by the writ petitioner's counsel impress me. a) The initiation of proceedings after a gap of more than 14 years. Of course, the learned Special Government Pleader would state that the Entry Tax Act itself was struck down by the Madras High ....