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2015 (5) TMI 451 - DELHI HIGH COURTWaiver of pre deposit - Whether the Appellate Tribunal, Value Added Tax was justified in directing the appellant to deposit 25% of the amount in dispute in respect of assessment of tax, though the appellate authority on the question of quantum and other issues had remanded the matter to the assessing authority and, therefore, no payment was due and payable on the date when the appeal was preferred and on 24th April, 2014, when the Appellate Tribunal had passed the order directing the said pre-deposit - Held that:- When there was no demand, which was due and payable, we do not think that the appellant was required to pay 25% of the “disputed amount”. The reason is simple, because when no demand was in existence and payable, the question of waiver of pre-deposit would not arise. There is difference between waiver of pre-deposit and direction to pay “tax” which was not determined and decided. Appellate tribunal has decided the application for waiver of deposit. It has not decided an application of the revenue that ad hoc payment should be deposited, assuming that such application was maintainable. The aforesaid distinction has not been kept in mind and deliberated while deciding an application for waiver of pre-deposit. In fact the appellant was not required to file the said application. Noticeably, the appellant assessee had deposited 5% of amount in dispute i.e. ₹ 1,65,670 as per the directions of Additional Commissioner, the first appellate authority. If we accept ratio and direction to deposit 25% of the demand, originally computed but set aside, we would be restoring and in a manner directing payment of an amount not due and payable. - Decided in favour of assessee.
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