IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 3RD DAY OF DECEMBER, 2019 BEFORE:
THE HON’BLE MRS. JUSTICE S.SUJATHA WRIT PETITION No.51588/2019 (T – RES) BETWEEN:
SKF TECHNOLOGIES (INDIA) PVT. LTD., PLOT NO.36 TO 39, KIADB INDUSTRIAL AREA, NEW LAYOUT KONCHANAHALLI ROAD, KADAKOLA, MYSORE-571311 REP BY ITS DIRECTOR, Mr. SWAMINATHAN VENKAT SUBRAMANIAM ... PETITIONER [BY SRI SURYANARAYANA T., ADV. FOR SRI VARAHAGIRI VINAY GIRI, ADV.] AND:
ASSISTANT COMMISSIONER OF COMMERCIAL TAXES, (AUDIT-5) SESHADRI BHAVAN, DEWANS ROAD, MYSORE-570021. …RESPONDENT [BY SRI T.K.VEDAMURTHY, AGA.] THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASH THE IMPUGNED VAT ASSESSMENT ORDERS BEARING CAS No.362106439 DATED 29.03.2019 AND BEARING CAS No.358108696 DATED 30.03.2019 ANNEXURE-C AND G PASSED BY R-1 FOR THE PERIOD OF APRIL 2013 MARCH 2014 & APRIL 2014 TO MARCH 2015 RESPECTIVELY AND THE CST ASSESSMENT ORDERS DATED 29.03.2019 BEARING CAS No.365106482 (ANNEXURE-E) AND BEARING CAS No.365106468 (ANNEXURE-J) PASSED BY THE R-1 FOR THE PERIODS APRIL 2013 MARCH 2014 AND APRIL 2014 MARCH 2015 RESPECTIVELY.
THIS PETITION COMING ON FOR ORDERS, THIS DAY, THE COURT MADE THE FOLLOWING:-
O R D E R Learned Additional Government Advocate accepts notice for the respondent.
The petitioner has challenged the assessment orders dated 29.03.2019 and 30.03.2019 passed by respondent No.1 for the tax periods April 2013 to March 2014 and April 2014 to March 2015 respectively under the provisions of the Karnataka Value Added Tax Act, 2003 and the assessment orders both dated 29.03.2019 passed by respondent No.1 under the Central Sales Tax Act, 1956 in addition to the consequential demand notices and recovery notices. Alternatively, the petitioner has sought for permission to file appeals against the impugned VAT and CST assessment orders before the Joint Commissioner of Commercial Tax (Appeals) seeking a direction to the said authority to consider the said appeals without raising issue of limitation.
2. The petitioner is a private limited company registered both under the provisions of Karnataka Value Added Tax Act, 2003 (‘KVAT Act’ for short) and Central Sales Tax Act, 1956 (‘CST Act’ for short). The petitioner is engaged in the manufacture and sale of oil seals, mechanic seals and large size bearings.
3. The prescribed authority has concluded the assessments for the periods in question and accordingly issued demand notices and the garnishee notices. Being aggrieved, the petitioner is before this Court.
4. At the outset, there is no legal impediment to consider the alternative prayer of the petitioner so as to relegate the petitioner to avail the alternative and efficacious statutory appeal available under the provisions of the KVAT Act and CST Act since the issue involved herein certainly involves the question of facts and law.
5. Hence, the petitioner is permitted to file the statutory appeal before the Appellate Authority. If such an appeal is preferred within a period of two weeks from the date of receipt of certified copy of the order, the same shall be considered by the Appellate Authority on merits without objecting to the period of limitation.
6. In view of the Garnishee notice being issued by the respondent, this Court deems it appropriate to stay the Garnishee notice until the Appellate Authority decides the application to be filed by the petitioner seeking stay of the demand pursuant to the assessment orders impugned herein, subject to compliance of Section 63[4] of the Act.
The writ petition stands disposed of in terms of the above.
Registry shall return the original orders to the petitioner keeping the photocopy of the same for the record purposes.
Sd/- JUDGE PMR