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2019 (3) TMI 342 - HC - VAT and Sales TaxPrinciples of natural justice - revision of earlier deemed assessment without considering the objections raised by the petitioner in accordance with law - purchases effected by the petitioner were duly reported to the respondent - case of petitioner is that the respondent is to initiate action against the other end seller for not reporting the sales effected by them to the respondent. Held that:- It is not in dispute that the petitioner who is the purchaser of the goods has reported to the respondent the details of the purchases from the seller, who has not reported the sale to the respondent. Copies of invoices relating to the purchase made by the petitioner were also submitted to the respondent The decision relied upon by the learned counsel for the petitioner, in the case of Assistant Commissioner (CT), Presently Thiruverkadu Assessment Circle, Kolathur, Chennai Vs. Infiniti Wholesale Limited [2016 (9) TMI 1431 - MADRAS HIGH COURT] is squarely applicable to the facts of the instant case. In the said judgment it has been held that if the sales effected through the writ petitioner from dealer are not disclosed by the other end seller either in the form of return filed monthly or the tax collected from the writ petitioner/dealer is not made over to the department by such seller, action lies only against such a defaulting seller but not against the purchaser. In the instant case also the error, is not attributable to the petitioner who is the purchaser who has claimed Input Tax Credit (I.T.C.) based upon the invoice generated by seller. The genuineness of the purchase is also not disputed by the respondent. The matter is remanded back to the respondent for fresh consideration and the respondent is directed to afford sufficient opportunity to the petitioner including the right of personal hearing - petition allowed by way of remand.
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