The Jharkhand High Court quashed the orders on the ground that the disposal of revision application by the Additional Commissioner in undue haste.
Despite dropping the review proceedings, D.C.C.T, submitted a letter/application dated under Section 80 of the JVAT Act before Additional Commissioner of Commercial Taxes for revision of the original assessment orders. The said letter/application was considered by Additional Commissioner of Commercial Taxes as Revision Application.
The Additional Commissioner of Commercial Taxes, in its order, recorded that it has perused the assessment records and from perusal of the assessment records, it was of the opinion that assessment orders were prejudicial to the interest of revenue; and, by recording the aforesaid ground, Additional Commissioner held that assessment proceedings require further detailed consideration by the Adjudicating Authority and, accordingly, set aside the original assessment orders and remanded the matters back to D.C.C.T.
Aggrieved the assessee approached the Commercial Taxes Tribunal and the Tribunal, allowed the revision applications; and in consequence thereof, the order passed by Additional Commissioner in Revision Case, was set aside.
The Government Pleader contended that the Tribunal has committed grave error in setting aside the order passed by Additional Commissioner of Commercial Taxes, as said order was merely a remand order remanding the matters back to Adjudicating Authority for re-assessment. It was further submitted that even if, for the sake of argument, it is presumed that Additional Commissioner, Commercial Taxes lacks jurisdiction and power to entertain the revision application, the Tribunal ought to have remanded the matter back to Commissioner of Commercial Taxes in the interest of state revenue.
Sumeet Gadodia, assisted by Ranjeet Kushwaha, Advocate has opposed the writ applications filed by State of Jharkhand and has supported the orders passed by Commercial Taxes Tribunal by contending, inter alia, that the orders passed by the learned Tribunal are reasoned and speaking orders after due examination of the relevant records of the case and statutory provisions as contained under the JVAT Act and Rules; and the same are not liable to be interfered by the Court in exercise of the powers of judicial review.
A Division Bench comprising Justices Rongon Mukhopadhyay and Deepak Roshan observed that “It would be evident that Additional Commissioner of Commercial Taxes has acted in undue haste in disposing of the revision applications. It is trite law that if an authority acts in undue haste, malice in law is to be presumed and his action is deemed to be mala fide.”
“In view of the aforesaid facts and circumstances of the case, we are of the firm opinion that orders passed by Additional Commissioner, Commercial Taxes dated 25.04.2019 suffer from various illegalities and infirmities and the same have been rightly set aside by the Commercial Taxes Tribunal, Ranchi, vide its order dated 28.02.2020.”
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
