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2016 (7) TMI 482 - GUJARAT HIGH COURTAttachment of immovable property and stock of the petitioner and other family members. - Denial of input tax credit - dealers had not shown such sales in favour of the petitioner nor paid tax to the Government on such transactions. - Held that:- At the stage where the petitioner's assessment is yet to be completed, we would not permit the department to recover any further possible tax or penalty. However, the order of attachment which has been passed to protect the interest of Revenue with minor modification, needs to be preserved. It is not in dispute that the department under Section 45(1) of the Gujarat Value Added Tax Act, 2003 has sufficiently wide powers to order attachment of dealer's properties in order to safeguard the interest of Revenue. When it is pointed out, as is done in the affidavit in reply dated 07.10.2015, that the purchases made by the petitioner from various dealers were never shown by them in their returns nor obviously tax on such transactions paid, immediately question would arise whether the petitioner itself was also involved in bogus billing activities? Under the circumstances the request of the petitioner for unconditional lifting of the order of attachment cannot be granted. - Further recovery proceedings stayed - Decided partly in favor of petitioner.
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