9911796707
TMI Blog2020 (1) TMI 892X X X X Extracts X X X X X X X X Extracts X X X X ..... mon judgment. 2. Facts being similar, we may notice from WP(C) 1109/2019. 3. Petitioner is an individual and is engaged in the business of operating a bonded warehouse at Udaipur, Tripura. The petitioner is a registered dealer under the Tripura Value Added Tax Act, 2004 (TVAT Act, for short). For the assessment period 2010-11 to 2012-13 the petitioner had filed necessary returns under the TVAT Act. It appears that notices for audit assessments in relation to such returns were issued, however, no final orders of assessment were passed before the period of limitation prescribed under the Act. In other words, these assessments became time barred. 4. The Superintendent of Taxes, Udaipur, respondent No.4 herein, issued a notice dated 11th Feb ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ther he is firmly stick to the provision of section 33 of the TVAT Act,2005. Gone thoroughly into the written and verbal submission of the dealer. Despite having ample scope, the dealer neither reflected the amount of discounts in the return(s) nor submitted revised return(s) during the period 2010-11 to 2012-13 mentioning the amount of discount. Generally, sale value is determined after deducting all kinds of allowable discounts to the licensees/consumers/purchasers. In the instant cases, the dealer reflected only the amount of exempted sales in the return(s) which was deducted from the amount of total sales. The total taxable sales is derivable after deducting the exempted sales from the total sales but in the instant cases, it appears ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed in the present petition. Facts being similar in the connected petition are not separately recorded. 8. In background of such facts learned counsel for the petitioner submitted that the respondent No.4 has wrongly invoked the powers of Section 27(2) of TVAT Act. The petitioner is a registered dealer and has been furnishing his periodical returns regularly. No notice under sub-Section (2) of Section 24 of the Act was ever issued by the Commissioner. In absence of such notice powers under Section 27 of the TVAT Act could not have been exercised. He submitted that the authority had in fact initiated audit assessment of the returns of the petitioner for the period in question. These assessments had become time barred. Only in order to circum ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his taxable turnover exceeds the taxable limit provided under sub-section (3) of section3." 11. Section 25 pertains to return defaults and provides for the consequences for a dealer required to file return under sub-section (1) or sub-section (2) of Section 24 of the TVAT Act who fails to do so. 12. Section 27 pertains to scrutiny of returns and reads as under:- "27.Scrutiny of returns:- (1) Each and every return in relation to any tax period furnished by a registered dealer to whom notice has been issued by the Commissioner under section 24 shall be subject to scrutiny by the Assessing Authority to verify the correctness of calculation, application of correct rate of tax and interest and input tax credit claimed therein; and full payme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shall not apply. (2) Any assessment made or penalty imposed under this Chapter shall be without prejudice to prosecution for any offence under this Act." 14. Section 34 pertains to turnover escaping assessment authorising the Commissioner to serve a notice to the dealer and to carry out best judgment assessment in case he has reasons to believe that the whole or any part of the turnover of the dealer in respect of any period has escaped assessment or being under assessed or being assessed at a lower rate or wrongly allowed any deduction or the dealer has been allowed wrong credit. 15. All these provisions noted above contained in Chapter V of the TVAT Act pertaining to returns and assessment thus provide for detailed procedure for requi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... correct rate of tax and interest and input tax credit claimed therein and full payment of tax and interest payable by the dealer during such period. Sub-section (2) of Section 27 provides that if mistake is detected as a result of such scrutiny, the Commissioner of Taxes shall serve a notice in prescribed form on the dealer to make payment of the extra amount of tax along with interest as per the provisions of the Act if payable. 18. Section 27 of the TVAT Act thus is not a provision for full assessment of the return filed in response to the notice issued by the Commissioner under sub-section (2) of Section 24 of the TVAT Act. It is merely for the purpose of verifying the correctness of necessary details furnished in such return such as c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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