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2018 (11) TMI 1438 - HC - VAT and Sales TaxTime limitation - Section 67 of the KVAT Act, 2003 - proceedings initiated u/s 67 of the KVAT Act, 2003 challenged on the ground of the orders passed being vitiated on the ground of period of limitation having expired. Held that:- In the present case, the inspection was conducted in June, 2010. The first summons was issued on 06.12.2011 within the limitation period of three years as the provision stood from 2009 onwards. There was absolutely no reason why the Officer did not finalise the proceedings on the basis of the materials recovered without waiting for the assessee to produce the books for almost five years. Even now the Officer has finalised the proceedings in 2016 without any books of accounts being produced by the assessee. The mere non-cooperation of the assessee did not at all hamper the Department from finalising the proceedings, since they could have deemed the non-co-operation to be a cause for assuming that there is no maintenance of proper books of accounts. The repeated summons a mere ruse to save limitation. The proceedings were initiated and the first summons issued when there was a period of limitation stipulated. Even if we take the date of summons, to be the date, from which the detection of offence had to be made, on a reasonably proximate day; the time expires by 2014. We do not think that the proceedings can be sustained and we set aside Ext.P1. Petition allowed.
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