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2015 (2) TMI 750 - HC - VAT and Sales TaxDeferment of assessment proceedings - Power of authorities to defer proceedings - Assessee contends that levy of VAT on the turnover on which service tax was levied as hire charges, and levy of VAT on supply of food and drinks on which also service tax was levied, was the subject matter of other writ petition which was admitted, and was pending on the file of the High Court - Held that:- Where an assessment has been deferred by the Commissioner under sub-section (5) of Section 32 or as the case may be, by the Appellate Tribunal under the proviso to sub- section (4) of Section 33 on account of any stay granted by the Appellate Tribunal, or as the case may be the Andhra Pradesh High Court or Supreme Court respectively, or whereas appeal or other proceedings is pending before the Appellate Tribunal or the High Court or the Supreme Court involving a question of law having a direct bearing on the assessment in question, the period during which the stay order was in force or such appeal or proceedings was pending shall be excluded in computing the period of four years or six years as the case may be for the purpose of making the assessment. Section 31(4A) - Where any proceeding under this section has been deferred on account of any stay orders granted by the High Court or Supreme Court in any case or by reason of the fact that an appeal or other proceedings is pending before the High Court or the Supreme Court involving a question of law having a direct bearing on the order or proceeding in question, the period during which the stay order is in force or the period during which such appeal or proceeding is pending, shall be excluded, while computing the period of two years specified in sub-section (4) for the purpose of passing appeal orders under this section. The Legislature, having retained a provision similar to Section 14(5) of the APGST Act in Section 21(7) of the VAT Act, has consciously chosen not to make a provision similar to Section 14(6) of the APGST Act which conferred on the Commissioner the power, in certain circumstances, to direct the assessing authority to defer assessment proceedings. The Commissioner has not been conferred the power to defer assessment proceedings under the VAT Act, and his power is now limited only to defer revision proceedings under Section 32 thereof, that too only in the circumstances referred to, and subject to the limitations prescribed, in sub-section (5) thereof. The Legislature has consciously chosen not to confer on the Commissioner the power to defer assessment proceedings under the VAT Act evidently because, unlike the APGST Act, Sections 20(2) & (4) of the VAT Act provide for self-assessment and, except in the circumstances referred to in sub-sections (3) to (5) of Section 21, no assessment order need be passed under the VAT Act. The Legislative intent is to remedy the mischief which, under Section 14(6) of the APGST Act, enabled the Commissioner to defer assessment proceedings, and thereby ensure that assessment proceedings, under the VAT Act, are not interdicted before its completion, and are completed without hindrance. In the absence of a provision in the VAT Act, similar to Section 14(6) of the APGST Act, none of the authorities under the VAT Act can be said to have been empowered to defer assessment proceedings. It matters little that the Commissioner had rejected the petitioners request for deferment, as he lacks jurisdiction, in the first place, to entertain such an application for deferment of assessment proceedings under Section 21 of the VAT Act. The Writ Petition is devoid of merits.It is made clear that the assessing authority may proceed, pursuant to the show-cause notice issued by him earlier, and pass an assessment order in accordance with law - Decided against assessee.
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