Pranab Kumar Deb, J. (Chairman) - (1.) THIS application under section 8 of the West Bengal Taxation Tribunal Act, 1987 has been filed, challenging the order dated January 28, 2009 as well as the order dated May 25, 2009 issued by the Sales Tax Officer, College Street. The petitioner, as disclosed in the application, carried on business of buying and selling of medical equipments and scientific instruments. The goods were imported from outside the State of West Bengal and also purchased from within the State of West Bengal for the purpose of sale of those instruments in the State of West Bengal.
(2.) THE microscopes dealt in by the petitioner were previously charged to tax at 12.5 percent. Following an order passed by the Commissioner regarding taxation of diagnostic equipments at four percent, the petitioner started selling microscopes charging four percent tax. On May 20, 2008, the petitioner received a notice whereby it was directed to produce books of accounts, bills, vouchers and other documents for the period covering from 2005 -06, 2006 -07 and 2007 -08 for the purpose of investigation under section 66 of the VAT Act, 2003. Pursuant to the said notice, the petitioner produced all the relevant documents including the books of accounts.
(3.) IT was alleged that the petitioner was verbally instructed to pay Rs. 1,68,654 with interest thereon by way of tax covering the period from 2006 -07. Demand for payment of tax at 12.5 percent was made. Following receipt of a copy from the Central section, the Sales Tax Officer initiated assessment proceeding against the petitioner in terms of the provision of section 46 of the VAT Act, 2003. By an order dated May 25, 2009, the Sales Tax Officer determined the amount of tax payable by the petitioner, observing that the petitioner had evaded tax by paying tax at four percent on sales of microscopes.;