2026-VIL-681-GUJ
  1. Home
  2. 2026-VIL-681-GUJ

VAT High Court Cases

Gujarat Sales Tax Act, 1969 - Reduction of Penalty imposed under Section 45(5) and Section 45(6) of the Gujarat Sales Tax Act - The appellant-Revenue challenges the Tribunal's reduction of penalty from 90% to 10% under Section 45(6) and deletion of penalty under Section 45(4) - Whether the Tribunal is justified in reducing the penalty to 10% instead of maintaining it at 90% - HELD - The Assessing Officer committed an error in computing the difference between tax payable and tax paid by considering only the amount shown in the return and ignoring the actual tax paid by the assessee, which is an undisputed fact. The assessee was engaged in selling agricultural equipment at subsidized rates with subsidy to be received from the State Government, and upon receipt of such subsidy paid the additional tax due within the prescribed period. The Tribunal correctly considered that the Assessing Officer ought to have included the total amount of tax actually paid for computing whether penalty was leviable under Section 45(5). However, neither the Assessing Officer nor the Tribunal has assigned any reason for reducing the penalty. The Court declines to substitute its discretion for the authorities' exercise of discretion in penalty matters – Further, the Tribunal has not interfered with the levy of interest on late payment of tax as the assessee admittedly paid late - Both the appeals filed by the Revenue and the cross-objections filed by the assessee are dismissed. The questions of law raised in the appeals are answered in affirmative in favour of the assessee and against the Revenue, while the question raised in the cross-objections is answered in favour of the Revenue and against the assessee. The impugned order of the Tribunal reducing the penalty to 10% and deleting penalties under Section 45(4) is upheld without interference – Ordered accordingly
Download File
show more Judgements  

Quick Search

/

Advance Search

GST Resources

/

Gst Rate Finder

Tax Vista

Your Weekly Tax Recap

By Kasi Viswanathan V

Weekly Summary

VIL Video

GSTAT Filing Near: Closing Resolutions...
By CA Vivek Jalan

Create Account

Security-Code
New Code?

Log In

New User ? Forgot Password ?

Forgot Password

Security-Code
New Code?
Please Note: This facility is only for Subscribing Members.

Email this page

Security-Code
New Code?

Feedback this page

Schedule a Demo

Schedule a demo to know the features and advantages of VILGST portal. Get to know the tips to find the desired results in faster way.

Security-Code
New Code?

Caselaw Request Form (CRF)

Didn’t find what you are searching for? No worries, please give us the following details and VIL will email you the desired Caselaws at the earliest:

Security-Code
New Code?