M/S Dharampal Satyapal Limited vs. The Commissioner Commercial Taxes
Held
The Court held that a selling dealer is not obliged to issue a Tax Invoice if the purchasing dealer has not provided the necessary particulars like TIN. In such cases, issuing a Sale Invoice is permissible, and no penalty can be imposed on the selling dealer for not issuing a Tax Invoice.
Facts
The assessee was penalized under Section 54(1)(5) of the U.P. VAT Act for not issuing Tax Invoices for four transactions, despite issuing Sale Invoices. The assessee contended that the purchasing dealers had not provided their Taxpayer Identification Numbers (TIN), thus they were treated as unregistered dealers.
Key Issues
Whether penalty can be imposed on a selling dealer for not issuing a Tax Invoice when the purchasing dealer failed to provide necessary details, and whether the selling dealer acted deliberately or collusively.
Sections Cited
Section 54, Section 22, Rule 41
AI-generated summary — verify with the full judgment below
1 Reserved/A.F.R. Court No. 11 Case :- SALES/TRADE TAX REVISION No. - 433 of 2013 Applicant :- M/S Dharampal Satyapal Limited Opposite Party :- The Commissioner, Commercial Taxes Counsel for Applicant :- Piyush Agrawal Counsel for Opposite Party :- C.S.C. Hon'ble Saumitra Dayal Singh,J.
Heard Sri Piyush Agrawal, learned counsel for the assessee/applicant and Sri B.K. Pandey, learned Standing Counsel for the revenue.
The present revision has been filed against the order of the Commercial Tax Tribunal, NOIDA dated 18.04.2013. The Tribunal has dismissed the appeal filed by the assessee/applicant-in-revision and upheld the levy of penalty under section 54 of the U P VAT Act, 2008 (hereinafter referred to as the Act).
The present revision was admitted on the following two questions of law: “i) Whether penalty under Section 54(1)(5) of the Act could be imposed upon the assessee revisionist for not issuing Tax Invoice, though admittedly, Sale Invoice were issued by it? ii) Whether the assessee revisionist could have issued the Tax Invoice though the purchasing dealers had not supplied the full particulars as required by sub-section 7 of Section 22 of the Act, in view of proh
The judgment continues below.
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