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High Court held that assessment orders passed by CTO were not invalid
High Court held that assessment orders passed by CTO were not invalid
Doshi Motors Pvt Ltd was into buying and selling vehicles, and was registered dealer for VAT and CST. C declaration forms submitted by it were found to be bogus, and rejected. CTO assessed petitioner’s entire turnover @12.5%. Petitioner challenged the jurisdiction of CTO u/r 59(4)(ii)(b). High Court held that assessment orders passed by CTO were not invalid. It dismissed the writ petitions as abuse of process of law, and imposed costs.-900230
1. Petitioner, a private limited company, was in the business of buying and selling motor vehicles.
2. They are dealers registered both under the APVAT Act, 2005 and the CST Act, 1956.
3. Assessment orders under the CST Act were passed rejecting the C declaration forms submitted by the petitioner, as C declaration forms were found to be bogus.
4. The entire turnover of the petitioner was assessed to tax at 12.5%.
5. The petitioner challened assessment orders passed by the 1st respondent, who was without jurisdiction as he was not authorised under rule 59(4)(ii)(b) of the APVAT Rules,
The High Court held as under:
6. The assessment orders, passed by the 1st respondent herein on 05.11.2012, do not bear the brand of invalidity on their forehead. An order, even if not made in good faith, is still capable of legal consequences.
7. For the reasons aforementioned we refrain from exercising the discretionary jurisdiction, under Article 226 of the Constitution of India, to entertain these Writ Petitions.
8. As filing of these Writ Petitions is an abuse of process of Court, they are dismissed with exemplary costs of Rs.25,000.
Case Reference - M/S.Doshi Motors Pvt. Ltd vs The Commercial Tax Officer.
Andhra High Court
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