Anfas Shoes, v. Appellate Deputy Commissioner
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 02.09.2016
CORAM:
THE HONOURABLE MR. JUSTICE T.S.SIVAGNANAM Writ Petition No.30786 of 2016 & W.M.P.No.26682 of 2016 Anfas Shoes Rep. by its Partner V.M.Rafathullah S.F.No.163/1A2 & 163/1A3 Peranambut Road Kailasagiri Village Vellore-635 808.
.. Petitioner Vs.
1 Appellate Deputy Commissioner (CT) Vellore C.T.Building Bharathiyar Salai Vellore-632 001.
2 Assistant Commissioner (CT) Ambur Assessment Circle No.4 1st Street Anandha Nagar Ambur-635 802.
... Respondents Petition filed under Article 226 of the Constitution of India for the issuance of writ of Certiorarified Mandamus to call for the impugned proceedings of the 1st respondent passed in S.P.No.88 of 2016 in APV 273 of 2016, dated 03.08.2016, and to quash the same in so far as directing the petitioner to furnish Bank Guarantee for balance amount of Rs.15,47,544/- and further direct the 1st respondent to accept personal bond for the sum of Rs.15,47,544/- instead of Bank Guarantee pending disposal of appeal in APV Nos.273 of 2016.
For Petitioner : Mr.N.Murali For Respondents: Mr.S.Kanmani Annamalai, Additional Government Pleader
O R D E R
The writ petition is directed against the order of the first respondent in S.P.No.88 of 2016 in APV 273 of 2016, dated 03.08.2016, imposing a condition that the petitioner should furnish bank guarantee for the entire penalty to the tune of Rs.10,31,696/- and for the remaining tax balance of Rs.5,15,848/-, totalling to the tune of Rs.15,47,544/-, during the currency of the appeal proceedings.
2. The petitioner filed appeal before the first respondent challenging the assessment order passed by the second respondent. The appeal was taken on file by the first respondent along with the stay petition filed by the petitioner. The petitioner paid 25% of the tax dues at the time of filing the appeal. The Appellate Authority granted stay by directing the petitioner to pay another 25% of the disputed tax (Rs.41,604/-) on or before 1.9.2016 and also furnish bank guarantee for the remaining balance of Rs.15,47,544/- (Tax Rs.5,15,848/- + Penalty Rs.10,31,696/-). This condition is challenged as onerous condition in this writ petition.
3. Heard Mr.N.Murali, learned counsel for the petitioner and Mr.S.Kanmani Annamalai, learned Additional Government Pleader for the respondents.
4. Admittedly, the petitioner has paid 25% of the disputed tax at the time of filing the appeal. However, as directed by the Appellate Authority, the petitioner is required to pay another 25% of the disputed tax (Rs.41,604/-) on or before 1.9.2016 and furnish bank guarantee for the remaining tax balance and entire penalty. The only grievance of the petitioner is that they were asked to furnish bank guarantee for the said amount.
5. This Court, in catena of decisions, directed the assessees to execute a personal bond in lieu of furnishing bank guarantee.
6. Therefore, this writ petition is disposed of with a direction to the petitioner to execute personal bond for the entire penalty and for the remaining tax dues, in lieu of furnishing bank guarantees, within a period of two weeks from the date of receipt of a copy of this order. On such executing the personal bonds, the order of stay granted by the first respondent shall be in force till the disposal of the appeal.
No costs. Consequently, the connected miscellaneous petition is closed.
Sd/- Assistant Registrar(CS V) //True Copy// Sub Assistant Registrar msk To 1 Appellate Deputy Commissioner (CT) Vellore C.T.Building Bharathiyar Salai Vellore-632 001.
2 Assistant Commissioner (CT) Ambur Assessment Circle No.4 1st Street Anandha Nagar Ambur-635 802.
1 cc to M/s.N.Murali, Advocate, sr.49905 1 cc to M/s.N.Murali, Advocate, sr.49904 W.P.No.30786 of 2016 nr co kra 22.09.2016