COMMERCIAL TAXES OFFICER SURATGARH Vs. SUBHASH TRADING CO

JUDGEMENT

(1.) THIS is a revision against the order dated 27th February, 1986, passed by the Rajasthan Sales Tax Tribunal by which the penalty of Rs. 7,000 imposed on the dealer under section 16 (1) (k) of the Rajasthan Sales Tax Act has been reduced to Rs. 1,500. The dealer was held liable for imposition of penalty under section 16 (1) (k) of the Act for failing to make use of certain goods for declared purpose. Accordingly, a penalty of Rs. 7,000 was imposed by the assessing authority. In the dealer's appeal to the Deputy Commissioner (Appeals), the entire penalty was set aside. Thereafter in the department's further appeal to the Tribunal the penalty of Rs. 7,000 has been reduced to Rs. 1,500. Aggrieved by this reduction the department has preferred this revision while the dealer has made no grievance against the reduced penalty.

(2.) A perusal of the impugned order passed by the Tribunal shows that no mention has been made therein of the reasons or grounds on which the reduction in penalty has been made. The only thing said by the Tribunal is that there is difference between a dealer who being unable to sell the goods within the State thereafter exports it for sale outside the State and another dealer who makes this export immediately. Thereafter the only thing said is that in the circumstances of the case the penalty is reduced from Rs. 7,000 to Rs. 1,500. It was incumbent on the Tribunal to indicate the circumstances which weighed with it for making the reduction. However, they have not even been disclosed. No doubt the Tribunal had jurisdiction to impose a reduced penalty while setting aside the Deputy Commissioner's order but some indication should have been given of the manner in which the reduction was made. This not having been done the exercise of discretion by the Tribunal was improper.