J.K. Ranka, J. - (1.) This instant sales tax revision petition under Sec. 86 of the Rajasthan Value added Tax Act, 2003 has been filed by the Revenue assailing the order dated July 22, 2002 passed by the Rajasthan Tax Board, Ajmer, in Appeal No. 365 of 1999 whereby the appeal filed by the Revenue was dismissed. The brief facts of the case as emerging on the face of record are that the respondent -assessee is manufacturer of air -conditioners and water coolers, etc., and the said goods were being transported from its showroom at Bhiwandi to Jaipur and Udaipur by vehicle No. RJ -14G -6464 on August 24, 1996. On August 24, 1996 the vehicle was intercepted by the Anti -Evasion Wing of the Revenue and on inspection, the driver of the vehicle produced all relevant documents, namely, challan No. 12225 and GR No. 33834 of M/s. Standard Transport Company, Mumbai and bill of importing the said goods from Mumbai. It was found that form ST -18A bearing No. 12431 issued by the Special Circle, Jaipur, was entirely blank and noticing this fact that form No. ST -18A was totally blank, the Anti -Evasion wing was, prima facie of the view that there was violation of Sec. 78(2) of the Rajasthan Sales Tax Act, 1994 and vehicle was detained. Dissatisfied with the explanation so offered, penalty under Sec. 78(5) of Rs. 1,74,557 was imposed.
(2.) The matter was challenged before the Deputy Commissioner (Appeals) who partly sustained the penalty by giving a relief of Rs. 18,000. The matter was further carried in appeal both by the Revenue as well as by the asses -see before the Tax Board, Ajmer, who vide order dated July 22, 2002, set aside and deleted the penalty as aforesaid by holding that all necessary bills, vouchers and builty were found in order and there could not be any method of evasion of tax.
(3.) The learned counsel for the petitioner Ms. Tanvi Sahai submitted that the declaration form No. ST -18A was most important document and it was found blank at the time of inspection and there were chances of its re -use. She further contended that the apex court in the case of Guljag Industries v/s. Commercial Taxes Officer reported in : [2007] 9 VST 1 (SC) : [2007] 293 ITR 584 (SC) : [2007] 18 Tax Update 321, has observed that carrying of incomplete form is not proper and penalty could be levied in a case like this. She further submitted that the assessing officer as well as the Deputy Commissioner (Appeals) have rightly imposed the penalty and the Tax Board has merely gone on the point of mens rea and therefore, it should not have been deleted.;