LEGENDROYAL INFRA, REPRESENTED BY ITS PARTNER, T MANOJ KUMAR Vs. INTELLIGENCE OFFICER, SQUAD NO III, GOODS & SERVICE TAXES

JUDGEMENT

(1.) Petitioner was an assessee under the Kerala Value Added Tax Act (the Act). He was imposed penalty under the Act in terms of Ext.P2 and P2(a) orders. As per Ext.P2 order, the petitioner was imposed a penalty of Rs.85, 34, 212/- and as per Ext.P2(a) order, they have been imposed a penalty of Rs.18, 92, 908/-. However, while raising demands pursuant to Exts.P2 and P2(a) orders, in addition to the penalty imposed in terms of the said orders, the petitioner was called upon to pay a sum of Rs.42, 67, 106/- and Rs.9, 46, 454/- respectively by way of tax as well. The notices of demand issued to the petitioner in this connection are also part of the penalty orders produced in the writ petition. The petitioner challenges the demands raised pursuant to Exts.P2 and P2(a) orders in so far as it relate to the tax component.

(2.) Heard the learned counsel for the petitioner as also the learned Government Pleader.

(3.) In so far as there is no determination of the tax payable by the petitioner under Section 25(1) of the Act, the petitioner cannot be fastened with the liability to pay tax, when demands are raised pursuant to orders imposing penalty on them. The impugned demands, to the extent it relate to tax, are therefore, unsustainable.