Considering the fact that the GST department has recovered more than 50% of the total dues, a division bench of the Calcutta High Court has kept the garnishee order in abeyance.
The appellant, M/s Graphic Aids had challenged the garnishee order for recovery of the tax and penalty payable pursuant to the assessment order dated 29th June, 2012. The learned Single Bench has dismissed the writ petition on the ground that the appellant is not aware of the fate of the revisional application, which it had filed against the order passed by the appellate authority dated 7th February, 2014.
The appellant submitted that even much prior to the assessment order, since there was a change of place of business, the appellant had filed the requisite details before the Sales Tax Officer concerned requesting for amendment of the place of business in the certificate of registration, which was not done. That apart, after the department adopted online system, requisite online application was filed for change of address, which is also kept pending. The learned Advocate for the appellant would further submit that no opportunity of hearing was granted to it by the appellate authority, who dismissed the appeal by an order dated 7 th February, 2014.
A bench of Justice T. S. Sivagnanam and Justice Hiranmay Bhattacharyya has partly allowed the appeal and set aside the order with a direction to the appellant to file an application before the revisional authority clearly setting out all facts and requesting the revisional authority to recall the order disposing of the revisional application and if such an application is filed, the revisional authority shall take up the same and pass a speaking order on merits and in accordance with law after affording an opportunity of personal hearing to the authorised representative of the appellant.
“As stated by the learned Advocate for the appellant that sum of Rs.16,51,924/- has been recovered after the writ petition was dismissed, we feel the interest of revenue has been sufficiently safeguarded as more than 50% of the total dues has already been recovered. Therefore, the garnishee order for the balance amount shall be kept in abeyance and abide by the orders to be passed by the revisional authority in terms of the above direction,” the division bench said.
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