V BALAKRISHNAN Vs. DEPUTY TRANSPORT COMMISSIONER CHITTOOR

JUDGEMENT

(1.) Challenging the demand notice dated 22-09-2010 issued by the 1st respondent, whereby the petitioner is directed to pay tax of Rs. 2,13,150/- within the stipulated time, failing which the bank guarantee submitted by him at the time of release of the vehicle would be encashed for remitting into the Government account, the present writ petition is filed.

(2.) The petitioner is the owner of a bus bearing Regn. No. TN47/Z3917. On 19-07-2010, the petitioner's vehicle was intercepted and found to be plying without a valid and operative permit. The petitioner's vehicle had entered Andhra Pradesh and Tamilnadu on a temporary permit for a period of 24 hours i. e. from 17-07-2010 to 18-07-2010 midnight, but was intercepted in the early hours of 19-07-2010, within the State.

(3.) Show cause notice was issued on 24-08-2010 calling upon the petitioner to pay tax under Section 3 of the A. P. Motor Vehicles Act read with Explanation (iv) (a) (iii) of G. O. Ms. No. 68, dated 13-04-2006, for the quarter ending 30-09-2010 @ Rs. 3,675/-P. S. P. Q for 56 seats. The petitioner submitted his response thereto denying liability under the provision set out in the show cause notice. However, by the impugned demand notice, dated 22-09-2010, the 1st respondent determined the tax liability on the ground that the quantum of liability arises as per the Explanation IV (a) (iii) of G. O. MS. No. 68, dated 13-04-2006.