STATE OF KARNATAKA Vs. MAINTEC TECHNOLOGIES PRIVATE LIMITED

JUDGEMENT

(1.) These three sets of revision petitions are filed by State/Revenue challenging the order passed by the Karnataka Appellate Tribunal holding interest can only be charged after issuance of an assessment order and not from the date of furnishing of the monthly returns. For the purpose of convenience and better appreciation of the question of law involved in these cases we have set out the facts of STRP No. 457 of 2012.

(2.) The assessee is a public sector undertaking, a company registered under the provisions of the Karnataka Value Added Tax Act, 2003 and Central Sales Tax Act, 1956. The Assessing Officer has concluded the assessment order for the tax period from April 2005 to March 2006 (for short, hereinafter referred to as 'CST Act'). The Assessing Authority has levied higher rate of tax for the transaction which is not covered by the 'C' Forms. The Assessing Authority also levied interest on the period from April 2005 to March 2006. The assessee paid taxes and interest as per the demand notice issued by the Assessing Authority. However, being not satisfied with the order passed by the Assessing Authority, the assessee filed an appeal before the Joint Commissioner of Commercial Taxes. The appeal was partly allowed. Not being satisfied with the said order, the assessee filed STA Nos. 2512 to 2514 of 2010 before the Karnataka Appellate Tribunal. The Tribunal following the judgment of the Supreme Court allowed the appeal quashing the levy of interest and transactions which are not covered by 'C' Forms. Aggrieved by the same, the revenue is in revision before this Court.

(3.) Keeping in mind the facts of this case along with the other connected cases two questions of law do arise for considerations in these batch of revisions: