- (1.) Having lost concurrently before all the three authorities below, namely; Assessing Authority, Deputy Commissioner (Appeals) and Rajasthan Tax Board, Ajmer, the assessee-M/s. Agrawal Aluminum, Jodhpur is before this Court in the present batch of revision petitions being aggrieved by the Tax Board order dated 5/7/2010 by which the Tax Board held against the assessee that the goods manufactured and sold by it namely; Aluminum Grill or Aluminum Grill Section was not taxable under the Rajasthan Value Added Tax Act, 2003, which came into force w.e.f. 1.4.2006, as 'Metal Mesh' @ 4% under Schedule IV of the Act but @ 12.5% under the Residuary Entry in Schedule V of the said Act. In pursuance of the survey conducted at the business premises of the assessee on 28/9/2007, the Assessing Authority found that assessee after purchasing Aluminum Sections from M/s. Hindalco Industries Limited, was manufacturing Aluminum Grill or Aluminum Grill Section and from the documents produced during the course of survey like dispatch sheets, sale invoice, bilty of transporters and declaration given to Insurance Companies, the goods sold were described as Aluminum Grill sections only and, therefore, the said commodity being not covered under any specific Entry of Schedule IV of the Rajasthan Value Added Tax Act, 2003, the said goods were liable to be taxed @ 12.5% under Residuary Entry for which Schedule V was enacted in the Rajasthan VAT Act and accordingly the Assessing Authority vide assessment order dated 5/4/2008 framed for different periods raised demand for differential tax, interest and penalty thereon.
(2.) The assessee went in appeal before the first appellate authority i.e. Deputy Commissioner (Appeals), Jodhpur, who vide his order dated 30/8/2008 upheld the imposition of difference of tax and interest, however, he set aside the imposition of penalty under Section 561 of the Act since transactions in question were duly recorded in the regular Books of Accounts maintained by the assessee.
(3.) The matter was again taken up before the Tax Board both by the assessee being aggrieved by the imposition of tax and interest and in cross appeals by Revenue being dissatisfied with the setting aside of the penalty.;