TaxTMI 
TaxTMI 
2023 (8) TMI 530
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....ich is worked out in the operative part of the order and thereby raising a duty demand of Rs. 17,58,06,021/-. 3. The petitioner No. 1 is engaged in the business of Jewellery. It is contended that it has its own manufacturing as well as it manufactures jewellery on job work basis for others. It has two places of business, one at Mumbai and another at Coimbatore, as set out in paragraph (1) of the petition. The petitioner No. 1 is registered under the MVAT Act and the CST Act. The petitioners has contended that during the year in question, the petitioner No. 1 received gold/bullion for manufacturing of jewellery on job work charges basis. It is contended that the petitioner No. 1 receives gold/bullion with Alloys from the customers at Mumbai office, thereafter, the Mumbai office sends said gold/bullion/alloys to its manufacturing unit at Coimbatore. The Coimbatore unit manufactures jewellery from the gold/bullion/alloy so received from Mumbai office, and the manufactured jewellery is re-sent to the Mumbai unit. The Mumbai unit delivers back the manufactured goods i.e. jewellery to the customers from whom the gold was received. The petitioner raises invoice for such job work and th....
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.... Total CST payable comes Rs. 293/- Dealer has paid Rs. NIL/- along with return. Balance CST payable remains is Rs. 293/- MVAT refund of Rs. 293/- is adjusted against CST dues. Balance payable is Rs. NIL. As dealer has disclosed his total turnover and no concealment is found hence penalty is not imposed. The dealer is finally liable to pay amount of Rs. NIL/- on account of tax, interest as per this assessment. Issue demand notice for Rs. NIL accordingly." 6. It appears that the Assessing Officer - Assistant Commissioner of State Tax issued a notice to the petitioner dated 31 September 2021 under Section 24(1) of the MVAT Act, being a notice for rectification of mistake which, according to the Assessing Officer, had occurred in passing of Assessment Order dated 31 March 2021. It is seen from the said notice that the Assessing Officer stated that during the assessment period in question, the petitioner had claimed Rs. 26,21,68,894/- towards labour charges and same is deducted from gross turnover of sales as per letter dated 21 March 2021 of the petitioner. It was stated by the department that by the Mumbai office has received the g....
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....in Form 'F' and no fault can be attributed to the assessee in said eventuality. 8. The petitioners have also placed reliance on the decision of the Division Bench of this Court in Johnson Matthey Chemicals India Pvt.Ltd. Vs. State of Maharashtra (2016)2 AIR Bom R 418 wherein referring to the decision in Ambika Steels Ltd. (supra) it was held that the assessee can request the Assessing Officer to drop the principal action of rectification under Section 24 of the MVAT Act. 9. Now coming to the facts of the case, the Assessing Officer after granting an opportunity of hearing to the petitioners passed the impugned order rectifying the assessment. 10. This petition was listed before the Co-ordinate Bench of this Court on 17 August 2022 when in terms of the following order, the ad-interim relief in terms of prayer clause (k) came to be granted namely stay to the recovery from the petitioners. "1. Petitioner is impugning an order dated 1st December 2021 passed by respondent no.3 on various grounds. According to petitioner (a) respondent has, in the garb of rectification, reviewed his own assessment order, which is not permissible in law and (b) respondent has, notwithsta....
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....amil Nadu was placed for consideration of the Assessing Officer which has not taken into consideration. It is also the petitioner's submission that even a clear position in law as laid down by the Supreme Court in Ambika Steels Ltd. (supra) as followed by this Court in Johnson Matthey Chemicals India Pvt.Ltd. (supra) has also not taken into consideration. For such reason, it is submitted that the impugned order is required to be quashed and set aside. 14. On the other hand Ms. Chavan, the learned Assistant Government Pleader has supported the impugned order. She has drawn our attention to the operative portion of the impugned order, to submit that the Assessing Officer has appropriately taken into consideration all the materials. She submits that what was shown to the department as a branch transfer of the goods amounting to Rs. 2,09,45,018/- and hence, her submission is that there is no interference called for in the present proceedings. 15. Having heard learned Counsel for the parties and having perused the record, in our opinion, there is much substance in the contention as urged by the petitioners. The Assessing Officer appears to have totally overlooked his jurisdiction ....