Decided on February 25,2011

Angus Jute Works Of The Angus Co. Ltd. Appellant
Jt. Commr., C.T., Corporate Division And Others Respondents


Pranab Kumar Deb, J. (Chairman) - (1.) THIS instant application under section 8 of the West Bengal Taxation Tribunal Act, 1987, has been filed, challenging the order of imposition of penalty under section 76(1)(b) of the West Bengal Sales Tax Act, 1994 and rejection of the application in revision under section 81 of the West Bengal Sales Tax Act, 1994. The petitioner as an occupier of jute mill and registered dealer submitted return for the four quarters covering the period from April 1, 2002 to March 31, 2003 with the declaration that gross purchase of raw jute for the relevant period was to the tune of Rs. 42,40,94,410. It was also disclosed that raw jute to the tune of Rs. 20,24,63,324 was purchased from outside the State of West Bengal. The Joint Commissioner, West Bengal Corporate Division, however, disbelieved the claim of inter -State purchase of raw jute to the tune of Rs. 19,27,79,999, observing that raw jute worth Rs. 19,27,79,999 had been purchased by the petitioner within the State of West Bengal and accordingly levied purchase tax thereon.
(2.) CHALLENGING the assessment order dated June 30, 2005 for the aforesaid period covering four quarters ending on March 31, 2003, the petitioner preferred an appeal. In the meantime, the Assistant Commissioner, Commercial Taxes, West Bengal Corporate Division, initiated, a proceeding under section 76 of the West Bengal Sales Tax Act, 1994, alleging that the petitioner had furnished incorrect particulars regarding the purchase of raw jute during the relevant period in the return submitted by them. Ultimately, the Assistant Commissioner passed an order on March 17, 2006, imposing a hefty penalty of Rs. 74,94,946. While such process was underway, the petitioner sought to have the dispute resolved in accordance with the West Bengal Sales Tax (Settlement of Dispute) Act, 1999 by filing an application in form 1. The matter was ultimately resolved with the respondents allowing the application of the petitioner made in form 1 by issuance of certificate of settlement in form 3A under the Settlement of Dispute Act.
(3.) IN the wake of imposition of penalty, the petitioner filed a revisional application. The aforesaid application was disposed of by an order dated July 10, 2007 by affirming the order of penalty. Dissatisfied with the order dated July 10, 2007, the petitioner preferred a second revision, detailing the grounds of objection. The second revisional application also met with the same fate, with the revisional authorities confirming the order of penalty passed by the Assistant Commissioner.;

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