TMI Blog2010 (4) TMI 984X X X X Extracts X X X X X X X X Extracts X X X X ..... ed upon findings of facts recorded after appreciation of the evidence on record suffers from any legal infirmity so as to warrant interference. No question of law as proposed or otherwise, much less any substantial question of law can be stated to arise out of the impugned order of the Tribunal.The appeals dismissed. - Tax Appeal Nos. 1819,2020 of 2009 - - - Dated:- 9-4-2010 - MEHTA D.A. AND DEVANI H.N. , JJ. JUDGMENT:- The judgment of the court was delivered by Ms. H.N. DEVANI J. Both these appeals arise out of common order dated June 16, 2009 made by the Gujarat Value Added Tax Tribunal (Tribunal), hence the same were taken up for hearing together and are disposed of by this common order. In both these appeals which relate to 1998-99 and 1999-2000, respectively, the appellant, a registered dealer under the provisions of the Gujarat Sales Tax Act, 1969 (the Act) as well as under the Central Sales Tax Act, 1956 has challenged the common order dated June 16, 2009 made by the Tribunal proposing the following two questions stated to be substantial questions of law: I. Whether, on the facts and in the circumstances of the case, the production of C forms received ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... benefit of the C forms. It is also submitted that the forged C forms were provided to the appellant by the purchasing dealer, which were bearing all the necessary entries and marks making them appear genuine as if the same had been issued by the appropriate tax authorities. That the mere fact that the forms were forged or faulty cannot in any manner act to the prejudice of the appellant, who bona fide obtained the C forms for all the transactions with Raj Chemicals. It is further submitted that in absence of any mens rea to evade tax, amount of penalty and interest charged on the appellant ought to have been set aside. The facts are not in dispute. The appellant had effected several OGS sales to the purchasing dealer, viz., Raj Chemical against two C forms. Subsequent verification with the concerned sales tax authorities revealed that the said C forms are not genuine. According to the appellant, the appellant is not a party to the fraud and is in fact a victim thereof, inasmuch as he believed the C forms which otherwise bear all the features of a genuine C form, to be genuine and had no reason to doubt the same. According to the appellant when there is no methodology for a de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion for obtaining a single C form in relation to all the transactions worth more than Rs. 2.38 crores. The Tribunal has also recorded certain other irregularities in the C forms produced by the appellant, viz., no exact date is mentioned in the C forms and that the appellant had not furnished any explanation for receipt of C forms after long time. The Tribunal accordingly came to the conclusion that the two C forms produced by the appellant are doubtful and as such the appellant is not entitled to get the benefit of the said C forms for reduced rate at four per cent. The Tribunal has thereafter recorded that assuming that the appellant may have accepted C forms as being genuine, however the same were forged documents and as such did not vest any right in the appellant to get benefit of reduced tax rate. The Central Sales Tax Act, 1956 (the Central Act) inter alia provides for levy, collection and distribution of taxes on sales of goods in the course of inter-State trade or commerce. Section 8 of the said Act provides for rates of tax on sales in the course of inter-State trade or commerce . In case of inter-State trade, a dealer was at the relevant time entitled to reduc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the execution of contracts, the concessional rate of tax is available, provided the selling dealer obtains from the purchasing dealer the declaration in the prescribed form duly filled in and signed by the latter containing the particulars that the goods are ordered, purchased or supplied under a certain specific order, bill or cash memo or challan, for all or any of the purposes mentioned and that the goods are covered by the registration certificate of the purchaser described therein and issued under the Act. If the certificate is defective in that it does not set out all the details, or that it contains false particulars about the order, bill, cash memo or challan, or about the number and date of the registration certificate and specifications of goods covered by the certificate of the purchasing dealer, the transaction will not be admitted to concessional rates. In India Agencies (Regd.) v. Additional Commissioner of Commercial Taxes [2005] 139 STC 329; [2005] 2 SCC 129, the Supreme Court while dealing with rule 6(b)(ii) of the Central Sales Tax (Karnataka) Rules, 1957 which provided for furnishing of original C form in order to claim the concessional rate of tax held thu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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