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2021 (4) TMI 421 - HC - VAT and Sales TaxRecovery of sales tax dues - liability of third person (spouse) who has giving the property as security - Raising of encumbrance created by way of Intimation - contract of guarantee - whether the security given can be subjected to revenue recovery under the provisions of the Revenue Recovery Act? - HELD THAT:- the security bond was not executed in her capacity as wife of the Proprietor and she executed the same in her capacity as an 'individual person' and she has given an undertaking that in the event of non-payment of statutory dues, the immovable property given by way of security can be attached. Where the security bond is executed as an individual person and further as per Section 21(2-B) of the TNGST Act, where it appears necessary to the authority granting a certificate of registration under this Section, so to do for the proper realisation of the tax payable under this Act, it may, at any time, while such certificate is in force, by an order in writing and for reasons to be recorded therein, require the dealer to whom the certificate has been granted, to furnish within such time as may be specified in the order and in the prescribed manner such security or, if the dealer has already furnished any security in pursuance of an order under this sub-section or sub-section (1-A) such additional security, as may be specified in the order for the aforesaid purpose. The statutory dues are recoverable and no one should be allowed to escape from the payment of statutory dues, this Court is of an opinion that the provisions are to be interpreted pragmatically and constructively, so as to ensure that the purpose and object of the Statute are meted out and the public interest is protected. Thus certain Rules or guidelines formulated for the purpose of implementing the provisions of the Act and time limits or certain procedures, guidelines contemplated are to be construed as directory and cannot be held as mandatory. This Court is of the considered opinion that the petitioner is not entitled for the relief, as such, sought for in the present writ petition - Petition dismissed.
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