VMOKSHA TECHNOLOGIES PRIVATE LIMITED Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) THESE twelve (12) appeals are filed under Section 63 of the Karnataka Value Added Tax Act, 2003 (for short referred to as 'the Act') challenging the appellate order dated 18th February, 2013 passed under Section 62(6) of the Act by the Joint Commissioner of Commercial Taxes (Gulbarga) (for short, as 'FAA') for the tax periods of April 2005 to March 2006. The First Appellate Authority has been conferred with jurisdiction on the records of the appellant by virtue of order issued by the Commissioner dated 7th September, 2012. The impugned appellate order has been concluded ex parte by the learned First Appellate Authority, thereby affirming the reassessment orders dated 20th April, 2010 concluded under Section 39(1) by the Deputy Commissioner of Commercial Taxes (Audit -52) (for short, as 'AA'). The appellant has made prayer to set aside the impugned appellate order keeping in view of principles of natural justice as the said appellate order is passed 'ex parte'. Brief Facts. - - (i) The appellant is a private limited company engaged in rendering service with relation to software. During the year 2005 -2006 i.e., for the impugned tax periods the entire invoice has been claimed as exemption. (ii) The appellant has been subjected to visit audit followed by reassessment by the AA who has fastened the 'tax liability' for each tax period disallowing exemption claimed by the appellant. (iii) Aggrieved by the same, the appellant has carried the matter before the FAA who has dismissed the appeals 'ex parte' for non -appearance. Hence these appeals are filed before this Tribunal.

(2.) GROUNDS of appeal. - - (a) The main and only reason assigned praying to set aside the appellate order is that the FAA instead of serving the notice to the correct changed address of the appellant has dispatched the notice to the old address and the said communication has never reached the appellant. Thus, the appellant has lost opportunity to defend his case before the FAA. On the above grounds, prayer is made to set aside the impugned orders of the FAA.

(3.) HEARD the learned Counsel for the appellant and also the State Representative. The Counsel's prayed to set aside the ex parte appellate order and remand the case to FAA, to that the appellant can defend his case. The learned State Representative also conceded that these appeals are to be remanded back to FAA.