Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

Customs Department Versus The State of Bihar, Commercial Tax Officer

2016 (4) TMI 785 - PATNA HIGH COURT

Tax liability - Section 16 of the Bihar Finance Act, 1981 - Ex-parte order passed - Sale of confiscated goods imported in contravention of Customs laws - Petitioner neither filed return nor produced books of accounts as required under Section 16(1) and 17(2) ibid in spite of notice - Held that:- in view of various Hon'ble Supreme Court judgments, the petitioner is a dealer within the meaning of Section 2(e) of the Bihar Finance Act, 1981 read with IInd Explanation and, thus, it is exigible to th .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

. 7606, 7671, 7703 , 7712, 7779, 7782, 7854, 7859, 7884, 7941, 7992, 7999, 8018, 8041, 8970 of 2007 - Dated:- 11-3-2016 - Hemant Gupta And Ramesh Kumar Datta, JJ. For the Appellant : Mrs. Archana Meenakshee, Adv. & Mr. Kumar Pankaj, Adv For the Respondent : Mr. Vikash Kumar, AC to PAAG JUDGMENT ( Per: Honourable Mr. Justice Hemant Gupta ) This judgment shall dispose of all these 15 writ petitions filed by the Customs Department arising out of assessment year 1986-1987 to 2000-2001 as common .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

est bidder of confiscated goods are required to deposit the bid money along with sales tax in concerned treasury and on production of treasury receipt, the goods are released by the Assistant Commissioner Customs (P), Muzaffarpur. 3. The grievance of the petitioner is that by virtue of an ex-parte order the petitioner was saddled with the tax liability. The stand of the petitioner is that it is not liable for payment of sales tax. It is asserted that petitioner is not a dealer in terms of Sectio .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ar Finance Act, 1981. The petitioner is also required to produce books of accounts relating to its transactions and get assessed under section 17 of the Act. The petitioner neither filed return nor produced books of accounts as required under section 16(1) and 17(2) of the Bihar Finance Act, 1981 in spite of notice. Thereafter an ex parte order was passed. Thus, it was asserted that action against the petitioner is in accordance with law and there is no infirmity in raising demand of levied tax, .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

any authority within a State (2) Nothing in clause (1) shall, until Parliament by law otherwise provides, prevent any authority within a State from levying any tax on any property of the Union to which such property was immediately before the commencement of this Constitution liable or treated as liable, so long as that tax continues to be levied in that State." 7. The Article 285 of the Constitution of India bars the State to levy tax on the property of Union of India, whereas Article 289 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rt in the case of New Delhi Municipal Council Vs. State of Punjab, (1997) 7 SCC 399. 9. The majority opinion in the Supreme Court in Sea Customs case (supra) held that the bar of Article 289 of the Constitution of India does not apply to indirect tax like customs duty, Central excise duty, sales tax etc. 10. In a later judgment, in the case of New Delhi Municipal Council (supra), the Hon'ble Supreme Court held that Article 289 (1) provides for exemption of property and income of the States o .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ses 192 examined the identical issue as raised in the present cases where the Collector of Customs was found to be a "dealer" within the meaning of the Bengal Finance (Sales Tax) Act, 1941 after the customs sold goods confiscated under the provisions of the Customs Act, 1962 because of non-payment of custom duty thereon. The Court held to the following effect: "4. It would appear that no real arguments were advanced before this Court by the appellant-State and the judgment of this .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ty and sales tax are levied with reference to goods, the two are very different imposts; in one case the imposition is on the act of manufacture or production while in the other it is on the act of sale. In neither case therefore can it be said that the excise duty or sales tax is a tax directly on the goods for in that event they will really become the same tax." 5. The decision in the Sea Customs Act case was considered by another nine-Judge Bench in the case of New Delhi Municipal Counci .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Court and the relevant clause in the agreement between the appellant and its contractors concerned we are satisfied that the question involved in these appeals are no more res-integra. This Court as far back as in the year 1963 in a presidential reference case under Sea Clustoms Act held; "The bar of Article 289 of the Constitution of India does not apply to indirect tax like Customs duty, Central Excise duty, Sales Tax etc." 13. In the said case it was held that exemption of property .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     bird's eye view     ↓  


|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version