Allahabad HC Slams VAT Assessing Authority for Copy-Paste Orders Ignoring Remand Directions, Orders Appropriate Action by Pr. Secretary [Read Order]

In a strong rebuke to the VAT ( Value Added Tax ) Assessing Authority, the Allahabad High Court has quashed a series of assessment orders for blatantly disregarding remand directions issued in earlier appellate proceedings.

The Court observed that the impugned orders, passed under Section 28(2)(ii) read with Section 32 of the Uttar Pradesh Value Added Tax Act, 2008, were essentially a “copy-paste” of previously quashed assessments, with not even the rectified errors being addressed.

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Before the Additional Commissioner (Appeals), Commercial Tax, Noida, the petitioner, M/s Lifestyle International Private Limited contested previous assessment rulings from 2019 and 2021. The Additional Commissioner remanded the case back with explicit instructions to take into account the documents submitted during the appeal. The Assessing Authority, however, disregarded these directives and issued new orders that were essentially the same as the ones that were revoked.

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The High Court noted with concern that the authority had neither acknowledged the earlier appellate orders nor the fact that the current orders were being issued on remand. The court pointed out that this demonstrated a complete lack of application of mind and a mechanical approach to adjudication.

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While the respondents argued that the impugned orders were appealable, the Chief Justice Arun Bansali and Justice Kshitij Shailendra rejected this contention, observing that forcing the petitioner to appeal again would amount to an empty formality, given the Assessing Authority’s clear dereliction of duty.

The High Court quashed the orders dated 26.03.2025 and remanded the matter back for fresh adjudication, directing the Assessing Authority to comply with the earlier remand directions and give the petitioner a proper opportunity of hearing.

Additionally, the Court ordered that a copy of the judgment be forwarded to the Principal Secretary, State Tax, Government of Uttar Pradesh, to examine the conduct of the Assessing Authority and take appropriate action.

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To Read the full text of the Order CLICK HERE

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