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2016 (11) TMI 1667 - HC - VAT and Sales TaxLevy of compounding fee - release of detained goods alongwith vehicle - offence under Sections 71 (5) (a) and 71 (5) (b) of CST Act - HELD THAT:- This Court is not able to see any merit in the submissions made by the learned Special Government Pleader for the respondent. In the instant case, the goods were detained for one reason and the order demanding compounding fee was passed on different grounds, not related to detention and goods in transit. Further, the respondent cannot usurp the jurisdiction of the Assessing Authority. It is only the Assessing Authority, who can decide, whether tax is leviable, whether there is an attempt for evasion, whether the explanation of the owner / agent is acceptable, whether the documents that are carried with the goods are sufficient, etc., This Court is of the considered view that, since the respondent is not the Assessing Officer, he is not entitled to levy and demand any amount of tax, in addition to the tax payable on the value of the goods. Therefore, the impugned proceedings of the respondent is against the provisions of the Act and the Rules framed therefor - the impugned order demanding and collecting tax has no legs to stand - petition allowed.
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