High Court of Judicature at Allahabad
Case Law Search
M/S Fanny Pharmaceuticals v. The Commissioner Of Trade Tax - SALES/TRADE TAX REVISION No. 76 of 1995  RD-AH 309 (13 July 2004)
TRADE TAX REVISION NO.76 OF 1995
M/s Fancy Pharmaceuticals ....Applicant
The Commissioner of Trade Tax U.P., Lucknow. ....Opp.Party
Hon'ble Rajes Kumar, J.
Present revision under Section 11 of U.P. Trade Tax Act (hereinafter referred to as "Act") is directed against the order of Tribunal dated 24.11.1994 relating to the assessment year 1985-86.
On the basis of the suppression of sale of Rs.56,685/- turn over was enhanced to rs.3,34,995/- and tax levied at Rs.22,155/-. Treating the enhanced turn over as concealed turn over assessing authority levied penalty under section 15-A (1) (c) of the Act at Rs.22,000/-, which is about 100% of the tax on the enhanced turn over. First appeal filed by the applicant was rejected. Second appeal filed by the applicant was also rejected.
Heard learned counsel for the parties.
Learned counsel for the applicant submitted that as against the suppressed material for Rs.56,685/- turn over was enhanced to Rs.3,34,995/- on which tax was calculated at Rs.22,155/-. He submitted that there is no justification for levying the penalty at 100% of the amount of tax alleged to have been evaded.
I have perused the order of Tribunal and the authorities below.
Tribunal has not given any reason for levying the penalty to the extent of 100% of the alleged tax evaded at Rs.22,155/-. Admittedly, as against the suppressed material of Rs.56,685/- turn over was enhanced to Rs.3,34,995/- and on which the tax levied at Rs.22,155/- has been treated as total tax evaded. No reason has been given for levying the penalty at 100% of the enhanced tax. On the facts and circumstances of the case, I consider it would be reasonable to levy minimum penalty.
In the result, revision is allowed in part. Amount of penalty is reduced to 50% of the Rs.22,155/-, which comes to Rs.11,077/-.
Double Click on any word for its dictionary meaning or to get reference material on it.