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2015 (3) TMI 1195 - HC - VAT and Sales TaxLevy of penalty - excess stock found - assessee is dealing in utensils, umbrellas, general kirana goods etc. - Penalty was deleted on the ground that survey did not take place in the presence of two independent witnesses and even there was no list of physical verification on the file - Held that:- Rule 50 of the RST Rules postulates that not only the search operation is to be conducted in the presence of two independent witnesses but then the goods have to be weighed in the presence of the two independent witnesses but in the instant case, it is a finding of fact that even on the seizure memo, there is no signature of even one independent witness. When the procedure laid down under Section 50 has not been followed by the officers of the petitioner-Revenue, any adverse finding or discrepancy on search looses significance and in such circumstances, the penalty under Section 77(8) of the RST Act is not required to be imposed and the Tax Board on aforesaid finding of fact and appreciation of evidence, has come to a definite conclusion that the search was improper and therefore, in my view, no question of law can be said to emerge out of the order of the Tax Board. - Decided against the revenue.
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