TaxTMI 
TaxTMI 
2026 (8) TMI 716
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....lia, Sr. Advocate, through VC assisted by Mr. Sharad Kothari Mr. Kalpit Shishodia Mr. Chirag Soni Mr. Pranjul Mehta Mr. Dinesh Kumar Bishnoi Mr. Pramod Viraish For Respondent : Mr. Mahaveer Bishnoi, AAG Assisted by Mr. Harshavardhan Singh Chundawat Mr. Rajvendra Saraswat ORDER: 1. Mr. Vikas Balia, learned Senior Counsel assisted by Mr. Sharad Kothari, Mr. Kalpit Shishodia, Mr. Chirag Soni, Mr. Pranjul Mehta, Dinesh Kumar Bishnoi and Mr. Pramod Viraish has taken this Court to the prayer, which reads as follows: "(a) The show cause notice dated 04.05.2026 (Annexure-3) issued by Respondent no. 1 may be quashed and set-aside." 2. Learned Senior Counsel has thereafter drawn the attention of this Court to paragraph 28 of the ....
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....lly considered in the Advance Ruling as well as in proceedings under Section 104. The case of M/s Kavicut Tobacco was also duly considered and distinguished by the Authority for Advance Ruling, wherein it was categorically held that mixing lime with tobacco leaves and addition of volatile flavours does not render unmanufactured tobacco into manufactured tobacco. Thus, the respondents' plea of "fresh findings" stands unsubstantiated. 35. Thus, the issuance of the impugned show cause notices reflects an attempt to reopen issues which have already attained finality, without any legal basis. Such an exercise is contrary to the scheme of the statute and cannot be sustained. It is also in violation of the settled principle that a sub....
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....ector is binding on the Assistant Collectors working within his jurisdiction and the order of the Tribunal is binding upon the Assistant Collectors and the Appellate Collectors who function under the jurisdiction of the Tribunal. The principles of judicial discipline require that the orders of the higher appellate authorities should be followed unreservedly by the subordinate authorities. The mere fact that the order of the appellate authority is not "acceptable" to the department - in itself an objectionable phrase - and is the subject matter of an appeal can furnish no ground for not following it unless its operation has been suspended by a competent court. If this healthy rule is not followed, the result will only be undue harassment to ....
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.... be. In the light of these amended provisions, there can be no justification for any Assistant Collector or Collector refusing to follow the order of the Appellate Collector or the Appellate Tribunal, as the case may be, even where he may have some reservations on its correctness. He has to follow the order of the higher appellate authority. This may instantly cause some prejudice to the Revenue but the remedy is also in the hands of the same officer. He has only to bring the matter to the notice of the Board or the Collector so as to enable appropriate proceedings being taken under Section.35-E(1) or (2) to keep the interests of the department alive. If the officer's view is the correct one, it will no doubt be finally upheld and the R....
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....uling dated 1stJune 2022, and the Order dated 10th July 2023 that AAR, as well as Respondent No. 4, were aware of both the processes involved in the preparation of the Product, that is, machine-based and manual and also about use of aroma and menthol, and both have concluded that the Product is 'unmanufactured tobacco'. It has been categorically held that the process of mixing of lime and tobacco and coating of aroma/menthol does not alter the raw tobacco, and the product remains 'unmanufactured tobacco' only. The method of preparation, whether manual or machine-based, also does not alter the nature of the product, which remains unmanufactured tobacco pre-mixed with lime. Thus, the very basis for invoking Section 74 does not....