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2014 (11) TMI 922 - HC - VAT and Sales TaxValidity of coercive proceedings of Punishment - sales tax evasion - petitioner having already been mulcted with the penalty of "thrice the tax amount" sought to be evaded under section 17(5A) of the KGST Act - Held that:- Admittedly, the liability under section 17(5A) has become final as per exhibit P11 order and it has been satisfied by the petitioner as well. This being the position, the said assessee is not liable to be punished for the same offence by referring to the general provision of section 45A, as to the failure to maintain proper accounts and non-response to the summons/ notice, which stands on a much lower pedestal. Even though sections 17(5A) and 45A are distinct and different, governing separate situations, the offence involved is measured in greater scales, imposing punishment in a mandatory manner, that too by "three times" of the tax effect in respect of the years 1998-99 and 1999-2000, while leaving the rest in respect of 2000-01 as the turnover did not touch the limit. It is relevant to note that, as observed by the Supreme Court in Maharashtra State Board of Secondary and Higher Secondary Education v. Paritosh Bhupeshkumar Sheth [1984 (7) TMI 355 - SUPREME COURT], when a "special provision" is there, the "general provision" has to be excluded, so as to give way to the former. In the instant case, section 17(5A) is the special provision and section 45A is the general provision, which in turn has to yield to the former. Above all, in fiscal statutes, interpretation has to be given, taking the choice of construction which is favourable to the assessee, as held by the apex court in Commissioner of Income-tax, West Bengal v. Vegetable Products Ltd. [1973 (1) TMI 1 - SUPREME Court] It is declared that, when punishment under section 17(5A) is imposed, further punishment under section 45A in respect of the same offence/ingredients is not correct or proper. - Decided in favor of assessee.
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