Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2022 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (9) TMI 532 - HC - VAT and Sales TaxViolation of the principles of natural justice - exparte reassessment order - illegal availment of Input Tax Credit - Section 29(7) of the U.P. Value Added Tax Act 2008 - HELD THAT:- A perusal of the reassessment order dated 30.03.2022 itself indicates that the respondent No.2 had proceeded to pass the reassessment order after getting sanction on 08.03.2022 from the respondent No.3, in a hurry that the case would become time barred after 31.03.2022. The reason for denial of time of 7 days sought by the petitioner vide adjournment application dated 25.03.2022 is recorded in the order impugned itself wherein it is stated that in case any adjournment was granted to the petitioner, the proceedings would become time barred and hence there was no option but to pass an exparte order - It is evident from the record that the respondent No.2 had concluded the entire matter within the month of March 2022 without granting adequate time to the petitioner to submit its reply to the reassessment notice dated 10.03.2022. Even otherwise, the order which has been passed exparte does not disclose the reason for the rejection of the objections of the petitioner that it is entitled to claim ITC for the work done by Azko Nobel as a job worker falling within the definition of "manufacturer" under Section 2(u) of the VAT Act. The reassessment order is simply a reiteration of the statement made in the notice dated 02.03.2022 seeking explanation of the petitioner and the sanction order dated 08.03.2022. It is evident from the record that the petitioner has given a categorical reply to the notice dated 02.03.2022 wherein various objections have been raised with regard to the claim of ITC made by the petitioner and the jurisdiction of the department to initiate reassessment proceedings. None of the objections have been considered by the respondent No.2 in the order impugned. Without entering into the merits of the claim, noticing that adequate opportunity of hearing has not been provided to the petitioner and the exparte order dated 30.03.2022 does not reflect the mind of the adjudicating authority, the reassessment order dated 30.03.2022 is being set aside being violative of the principle of natural justice, being a non-speaking order having been passed without considering the objections taken by the petitioner in its reply dated 08.03.2022 before the respondent No.2 - matter is relegated to the respondent No.2 namely Joint Commissioner, Corporate, Commercial Tax Department, Kanpur Zone 2, Kanpur from the stage of the reassessment notice dated 10.03.2022 to give opportunity to the petitioner to submit a reply. Petition allowed by way of remand.
|