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2019 (8) TMI 1626 - HC - VAT and Sales TaxDeletion of Penalty under Section 54(1)(14) of the U.P. VAT Act, 2008 - only allegation made against the assessee was that it had used "magic ink" in filling of import declaration form - case of respondent is that the assessee is only the purchasing dealer and it could not be made liable for mistakes and actions by the consignee - HELD THAT:- In the present case, it appears that in absence of any finding of the authorities that the import declaration form had been filled up using such ink as may evaporate if heat were to be applied to it, it is difficult to reach a conclusion that due disclosure of transaction had not been made by the assessee - The penalty order as also the appellate orders would reveal that the only allegation that was made against the assessee was of use of "magic ink" without specifying how it caused any prejudice. Mere use of expression "magic ink" cannot lead to any conclusion that the ink would have vanished without leaving any impression on that form. While as a fact, it cannot be denied that such techniques and devices exist, however, for the penalty to be imposed and sustained, there must exist a clear application of mind and specific finding to that effect. In absence of any finding to establish that the ink used was liable to vanish/evaporate without leaving a legible impression, the finding of fact recorded by the Tribunal appears to be based on evidence and material on record, which requires no interference - Revision dismissed - decided against Revenue.
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