High Court Kerala High Court

Smitha Prasanth vs The Commercial Tax Officer on 1 December, 2010

Kerala High Court
Smitha Prasanth vs The Commercial Tax Officer on 1 December, 2010
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 35044 of 2010(E)


1. SMITHA PRASANTH,MKP MARKETING NET,
                      ...  Petitioner

                        Vs



1. THE COMMERCIAL TAX OFFICER,
                       ...       Respondent

                For Petitioner  :SRI.S.ANIL KUMAR (TRIVANDRUM)

                For Respondent  : No Appearance

The Hon'ble MR. Justice C.K.ABDUL REHIM

 Dated :01/12/2010

 O R D E R
                  C.K.ABDUL REHIM, J.

               -------------------------------------------
                 W.P.(C).No.35044 of 2010
               -------------------------------------------

         Dated this the 1st day of December, 2010


                       J U D G M E N T

———————-

Challenge in this writ petition is against

Ext.P3 order of assessment completed under the

provisions of Section 25(1) of the Kerala Value Added

Tax Act, 2003 (KVAT Act). The assessment pertains to

the year 2007-08. Normally this court may not be

inclined to entertain any challenge against an order of

assessment in view of availability of an effective

alternate remedy under the statute. But learned

counsel for the petitioner points out that, the order of

assessment was finalised in flagrant violation of the

mandatory procedure contemplated under the relevant

provision and also in violation of principles of natural

justice.

2. It is contended that after filing objections to

the proposal notice the petitioner was not afforded with

W.P.(C).35044/10 -2-

an opportunity of personal hearing. On a perusal of Ext.P3

it is evident that the assessing authority had considered the

objections. But nothing is reflected in the order to the

effect that an opportunity of hearing was afforded, after

filing of the objections, nor the order reveals about any

personal hearing conducted.

3. Learned Government Pleader appearing on behalf

of the respondents submitted that, as per the instructions

received, the respondent had conducted a personal hearing

at the time when the objections were filed. But it is clear

that, the opportunity for personal hearing contemplated

under the statute is to be afforded at the time of finalisation

of the assessment. It is settled law by this time through the

decision of this court in Suzion Infrastructure Service Ltd.

Vs. C.T.O. (2010 (3) KHC 299) that, affording of an

opportunity of personal hearing after submission of

objections, is not an empty formality and any violation in

affording such opportunity will vitiate the assessment.

4. Under the above circumstances I am of the

W.P.(C).35044/10 -3-

considered opinion that the order of assessment impugned

is not sustainable in the eye of law and there is deficiency in

compliance of proper procedure contemplated under the

statute and also there is violation of the principles of natural

justice.

5. In the result the writ petition is allowed. Ext.P3

order is hereby quashed. The respondent is directed to

finalise the assessment afresh, after affording a reasonable

opportunity of hearing to the petitioner. Needless to say

that the petitioner will be at liberty to produce documents

or Books of Accounts in support of objections.

6. Fresh orders in this regard shall be issued as

early as possible, at any rate within a period of one month

from the date of receipt of a copy of this judgment.

C.K.ABDUL REHIM, JUDGE.

okb