Madras High CourtWP/224/2016disposed of

Ashok Leyland Limited, v. The Deputy Commissioner (Ct)

2016-01-06Honourable Mr Justice R. Mahadevan3 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 06.01.2016

CORAM

THE HONOURABLE MR.JUSTICE R.MAHADEVAN W.P.Nos.224 to 227 of 2016 and WMP Nos.128 to 131 of 2016 Ashok Leyland Limited represented by its Deputy General Manager - Corporate Taxes ...

Petitioner in all WPs Vs

1. The Deputy Commissioner (CT) III, Large Taxpayers Unit, Dugar Towers, 34, Marshalls Road, Egmore, Chennai 600 008.

2. The Joint Commissioner (CT) (Appeals), III Floor, C.T. Building Annexe, Greams Road, Chennai 600 006.

...

Respondents in all WPs WP.224/2016:

it results in direction to furnish bank guarantee for the balance amount of Rs.22,28,458/- on or before 05.01.2016. WP.227/2016:

Petition filed under Article 226 of the Constitution of India to issue a Writ of certiorarified mandamus to call for the records on the files of the second respondent herein in S.P.No.99/15 in AP.117/15 dated 08.12.2015 arising out of A.P.No.117/15 (TIN: 2010 - 11) quashing the same, insofar as it results in direction to furnish bank guarantee for the balance amount of Rs.09,46,930/- on or before 05.01.2016. For Petitioner : Mr.N.Inbarajan For Respondents : Mr.S.Manoharan Sundaram, AGP(T) COMMON ORDER Heard the learned counsel for the petitioner and the learned Additional Government Pleader (Taxes), who took notice for the respondents and with their consent, all these writ petitions are taken up for final disposal.

2. The petitioner has come forward with these writ petitions challenging the orders dated 08.12.2015 passed by the second respondent, imposing a condition that the petitioner should furnish bank guarantee for the balance tax amount along with penalty in the prescribed manner in fulfilment of the conditions stipulated in Rule 14(15) read with the proviso to section 52(4) of the Tamil Nadu Value Added Tax Act 2006 on or before 05.01.2016 during the currency of appeal proceedings.

3. The petitioner filed appeals before the first respondent challenging the Assessment orders passed by the second respondent. The appeals were taken on file by the first respondent along with stay petitions filed by the petitioner. In the stay petitions, the Appellate Authority was pleased to grant an order of stay directing the petitioner to pay another 25% of the disputed amount of tax before the Assessing Authority on or before 05.01.2016. The Appellate Authority also imposed a further condition directing the petitioner to furnish bank guarantee in respect of balance amount of tax and penalty in the stay petitions. The said onerous condition is challenged in these writ petitions.

4. The petitioner has paid 25% of the disputed tax for the respective assessment years at the time of filing the appeals. Further, as directed by the Appellate Authority, the petitioner also made payment of another 25% of the disputed amount on 22.12.2015 and produced the proof of payment. The only grievance of the petitioner is that they were asked to furnish bank guarantee for the balance tax amount and penalty.

5. This Court, in catena of decisions, directed the assessees to execute a personal bond in lieu of furnishing bank guarantee.

6. Therefore, all these writ petitions are disposed of with a direction to the petitioner to execute personal bond for the balance tax amount and penalty for each assessment year from 2007-2008 to 2010-2011 in lieu of furnishing bank guarantee, within a period of two weeks from the date of receipt of a copy of this order. On such executing the personal bond, the order of stay granted by the first respondent shall be in force till the disposal of the appeals. No costs. Consequently, connected miscellaneous petitions are closed.

Sd/- Assistant Registrar(CCC) //True Copy// Sub Assistant Registrar To

1. The Deputy Commissioner (CT) III, Large Taxpayers Unit, Dugar Towers, 34, Marshalls Road, Egmore, Chennai 600 008.

2. The Joint Commissioner (CT) (Appeals), III Floor, C.T. Building Annexe, Greams Road, Chennai 600 006.

+1cc to Spceial Government pleader S.R.No.1235 +1cc to Mr.N.Inbarajan, Advocate, S.R.No.641 W.P.Nos.224 to 227 of 2016 pvr(CO) srg(08/01/2016)