9911796707
TMI Blog2021 (3) TMI 1021X X X X Extracts X X X X X X X X Extracts X X X X ..... to as 'the KAT' for short]. 2. Germane facts which are necessary for disposal of this Revision Petition are as under: Revision Petitioner is a retailer dealing in drugs and medicines and is registered under the Karnataka Value Added Tax Act, 2003 [hereinafter referred to as 'KVAT Act' for short]. In the retail shop, Revision Petitioner also sells cosmetics and allied articles besides medicines and drugs. Revision Petitioner filed necessary returns and claimed refund. The Commissioner of Commercial Tax vide order No.ADCOM (I&C)/CAS/CR-02/13-14/08 dated 11.07.2013 ordered for verification of claim and refund. As per the said order, while verifying the claim, the Commercial Tax Officer, (Audit)2-3, DVO-2, Bengaluru [hereinafte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er Section 38(1) when monthly returns were filed. (c) The AA grossly erred in not applying the judgment of the Hon'ble High Court in Spencer's Case. The sale bills disclose the tax rate and actual amount of the tax collected is separated at the end of the day and accounted in book. Customers are made know that tax is collected @ 5% or 13.5% on each of the sale bills. (d) Medicines and other MRP label goods are not liable to tax under Section 4(1) but under Section 4(4). (e) The action of the AA is opposed to Section 4(4) since the section mandates that turnover is to be computed after reducing the tax collection or tax payable and Appellant exercised the option when he made purchases and paid tax on MRP and claimed in returns ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order passed by the KAT is that the order passed by the Commissioner of Commercial Tax vide order No.ADCOM (I&C)/CAS/CR-02/13-14/08 dated 11.07.2013 did not authorise the AA for re-assessment but was only limited to the extent to the verification of refund claimed. The order of the Commissioner of Commercial Tax is extracted by KAT in the internal page 7 of the judgment. The translated copy of which is in vernacular. 7. Learned counsel for the Revision Petitioner has filed the translated copy of the said order which reads as under: "PROCEEDINGS OF THE COMMISSIONER OF COMMERCIAL TAXES (KARNATAKA), BANGALORE Present: Sri Ajay Seth, I.A.S, Commissioner of Commercial Taxes (Karnataka), Bangalore. Sub:- Providing guidelines of re-assessme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assed by the Commissioner of Commercial Taxes, it is seen that though the Commissioner of Commercial Tax ordered for verification of claim of refund by the revision petitioner, what is method that is adoptable to verify the refund claimed is not mentioned in the said order. Further, the order also reads that the authorities were invested with the power on assessment, re-assessment and other related statutory proceedings. In the absence of any direction particularly to carry out the verification of refund claimed by the revision petitioner, the assessment officer has verified the books to find out whether the claimed refund is in order or not. It is at this juncture, the FAA incidentally verified the books of accounts of the revision petitio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... when he has noticed the irregularities committed by the revision petitioner while claiming refund. Nor, the learned counsel for the revision petitioner is in a position to point out which of the provisions of the Act is violated by the AA while carrying out such an exercise. 11. The order of the Commissioner of Commercial Tax though mentioned that the refund claimed by the revision petitioner is to be verified, did not deter AA from reassessment in the process of verification of the refund claimed by the assesse. 12. It is an admitted fact that the revision petitioner did not mention the charging and collection of the taxes in the individual invoices. Therefore, these aspects of the matter, have been dealt by the FAA and the KAT while rec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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