MUNIPACHAIYAPPAN TEXTILES PRIVATE LTD Vs. COMMERCIAL TAX OFFICER

JUDGEMENT

(1.) This writ petition is filed to quash the orders passed by the respondent in TIN NO/33581740583/13-14 dated 13.02.2017 and in TIN NO/33581740583/13-14 dated 02.05.2017 as illegal and arbitrary and consequently direct the respondent to pass fresh orders by providing personal hearing to the petitioner and considering removal of erroneous tax claims.

(2.) In the affidavit filed in support of this writ petition, it is stated that the petitioner is the manufacturer of synthetic yarn and a registered dealer under TNVAT Act, 2006 and CST Act, 1956 and also an assessee in the respondent assessment circle. The petitioner states that the respondent passed the reassessment order dated 13.02.2017 for the assessment year 2013-14 under Section 27(1)(a) of the TNVAT Act, 2006 and the same was received by the petitioner on 02.03.2017. According to the petitioner, the said reassessment order suffers from errors apparent on the face of the record requiring rectification under Section 84 of the TNVAT Act. The petitioner submitted a letter dated 20.03.2017 in this connection, requesting the respondent to rectify the errors and issue revised order nullifying the demand of tax and penalty raised therein. The petitioner's representative also appeared before the respondent's office in person and explained the matter in detail. Thereafter, since there was no communication from the respondent for about 6 months, the petitioner thought that the assessing officer had dropped the proposal after verifying the representation made by the petitioner. But to the shock and surprise of the petitioner, the impugned orders came to be passed confirming the levy of tax at 14.5% on the purchase value of Rs.23,46,145/-. Further, in addition to the levy of tax, penalty at 100% of the tax due was also levied. Hence this writ petition.

(3.) The learned counsel for the petitioner submits that if the assessing officer had conducted enquiry as provided under Section 27(1)(a) of the TNVAT Act, by providing an opportunity to the petitioner, the petitioner would have established the payment of tax on the impugned transactions with relevant materials. Stating so, he prayed for quashing the impugned orders.