{"id":121366,"date":"2004-02-10T00:00:00","date_gmt":"2004-02-09T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/t-r-varadarajan-vs-the-regional-transport-officer-on-10-february-2004"},"modified":"2016-08-10T14:22:46","modified_gmt":"2016-08-10T08:52:46","slug":"t-r-varadarajan-vs-the-regional-transport-officer-on-10-february-2004","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/t-r-varadarajan-vs-the-regional-transport-officer-on-10-february-2004","title":{"rendered":"T.R.Varadarajan vs The Regional Transport Officer on 10 February, 2004"},"content":{"rendered":"<div class=\"docsource_main\">Madras High Court<\/div>\n<div class=\"doc_title\">T.R.Varadarajan vs The Regional Transport Officer on 10 February, 2004<\/div>\n<pre>       \n\n  \n\n  \n\n \n \n IN THE HIGH COURT OF JUDICATURE AT MADRAS\n\nDATED: 10\/02\/2004\n\nCORAM\n\nTHE HONOURABLE MR.JUSTICE C.NAGAPPAN\n\nWRIT PETITION NO.17506 OF 1997\n\nT.R.Varadarajan                                                ... Petitioner\n\n-Vs-\n\nThe Regional Transport Officer,\nVirudhunagar.                                                   ... Respondent\n\n\n                Writ Petition under Article 226 of the Constitution  of  India\npraying for issuance of a writ of certiorari as stated therein.\n\n!For Petitioner ..  Mr.C.R.Krishnamurthy\n\n^For Respondent ..  Mr.R.Vijaya Kumar,\n                Addl.Govt.Pleader.\n\n:ORDER\n<\/pre>\n<p>                The  petitioner  has sought for issuance of writ of certiorari<br \/>\nto quash the order of the respondent in his Memo  R.No.27084\/A4\/90,  dated  07<br \/>\n.10.1996.\n<\/p>\n<p>                2.   The  petitioner  is  the  owner  of goods vehicle bearing<br \/>\nRegistration No.  TDR 2629 covered by the Goods Carriage Permit valid  in  the<br \/>\nState of  Tamil  Nadu  and  it  expired  on  26.11.1999.    According  to  the<br \/>\npetitioner, the vehicle was registered by the Assistant Registering Authority,<br \/>\nRamanathapuram at Madurai, on 06.02.1985 and  the  maximum  laden  weight  was<br \/>\n26400 kgs.,  as  per  the  details  of  the  vehicle in the R.C.  Book and the<br \/>\npermitted laden weight to carry the goods was endorsed as 24000 kgs.  and  tax<br \/>\nassessment was  made on 7.2.1985 as Rs.2200\/- in the R.C.Book.  The petitioner<br \/>\nhas further stated that there was no tax arrears  and  on  7.10.1996,  in  the<br \/>\nimpugned  order  in  Memo  R.No.27084\/A4  \/90,  the  respondent  directed  the<br \/>\npetitioner to pay the difference tax to the tune of Rs.22,500\/- for the period<br \/>\nfrom 01.10.1985 to 31.03.1 9 90 based on the report of the Accountant General,<br \/>\nMadras.  The petitioner has challenged  the  impugned  order  as  not  legally<br \/>\nsustainable  on  the  ground  that  the demand is made after the expiry of the<br \/>\nperiod of five years to which the tax relates and  neither  prior  notice  was<br \/>\nissued  nor  enquiry  was  conducted  before  the  demand is made and there is<br \/>\nviolation of Section 15-A of the Tamil Nadu Motor Vehicles Taxation Act.\n<\/p>\n<p>                3.  The respondent in his counter has stated that as  per  the<br \/>\nRegistration  Certificate  of  the  vehicle  belonging  to the petitioner, the<br \/>\nregistered laden weight was 26400 kgs.  and the permitted laden weight of  the<br \/>\nvehicle as  per  the  permit was 24000 kgs.  and the tax was assessed based on<br \/>\nthe permit laden weight of 24000 kgs.  instead of registered laden  weight  of<br \/>\n26400 kgs.    It  is  further  stated  by  the  respondent that the Accountant<br \/>\nGeneral, during the audit period of 19 89-90, raised an objection that the tax<br \/>\nwas not collected on the basis of registered laden  weight  at  Rs.2450\/-  per<br \/>\nquarter  for the period from 3 1.12.1985 to 31.03.1990 amounting to an arrears<br \/>\nof Rs.7,500\/- in tax and penalty of  200%  amounting  to  Rs.15,000\/-  and  in<br \/>\ntotal, there is a loss of revenue of Rs.22,500\/-.  It is further stated in the<br \/>\ncounter  that  as per the direction of the Transport Commissioner, dated 19.09<br \/>\n.1996, the difference of tax, as pointed out in the audit, was  demanded  from<br \/>\nthe petitioner in the impugned order, dated 07.10.1996.\n<\/p>\n<p>                4.   Heard  the  learned  counsel  for  the petitioner and the<br \/>\nlearned Additional Government Pleader.\n<\/p>\n<p>                5.  There is no dispute with regard to the facts.\n<\/p>\n<p>The respondent has demanded a  sum  of  Rs.22,500\/-  from  the  petitioner  as<br \/>\ndifference of tax to be paid.  The learned counsel for the petitioner contends<br \/>\nthat  as  per  Section  15-A  of  the  Tamil Nadu Motor Vehicles Taxation Act,<br \/>\nrecovery of tax, which escaped assessment, ought to have been  made  within  a<br \/>\nperiod  of  five  years  to  which the tax relates and whereas, in the present<br \/>\ncase, the demand has been made after the expiry of five years period and hence<br \/>\nthe demand is not valid in law.  Admittedly, the impugned demand had been made<br \/>\nby virtue of power vested with the authority under Section 15-A  of  the  Act.<br \/>\nSection 15 -A is as follows.\n<\/p>\n<p>        15-A.   Recovery  of  tax  which  escaped  assessment.&#8211; Where for any<br \/>\nreason, the whole or any portion of the tax which would have been  payable  in<br \/>\nrespect  of any motor vehicle under this Act for any period has not been paid,<br \/>\nthe licensing officer may, at any time, within a period of five years from the<br \/>\nexpiry of the period to which the tax relates and after issuing  a  notice  to<br \/>\nthe  registered  owner  or  the person having the possession or control of the<br \/>\nmotor vehicle and making such inquiry as he  may  consider  necessary,  direct<br \/>\nsuch  owner or other person to pay the whole or any portion of such tax, which<br \/>\nhas not been paid.\n<\/p>\n<p>        Provided that in computing the period of five years for  the  purposes<br \/>\nof this section, the period or periods, if any, during which the collection of<br \/>\nsuch tax has been stayed by an order of any court shall be excluded.&#8221;\n<\/p>\n<p>                6.   Under  the above provision, the licensing officer, at any<br \/>\ntime within a period of five years from the expiry of the period to which  the<br \/>\ntax  relates, may issue a notice to the registered owner and make such enquiry<br \/>\nand then direct the owner to pay tax which has not been paid.  In the impugned<br \/>\norder, dated 07.10.1996, the respondent has  issued  the  demand  to  pay  the<br \/>\ndifference  of  tax  amount  of  Rs.22,500\/- for the period from 01.10.1985 to<br \/>\n31.03.1990.  Though the petitioner has specifically  averred  that  the  above<br \/>\ndemand,  having made after a period of five years, is contrary to Section 15-A<br \/>\nof the Act and not valid, the respondent in the counter has not stated  as  to<br \/>\nhow the  demand  is  sustainable  in  law.    In short, this contention of the<br \/>\npetitioner has not been met by  the  respondent.    The  only  mode  by  which<br \/>\nrecovery  of  tax  which  escaped  assessment  can be made is by following the<br \/>\nmandatory  provisions  prescribed  under  Section  15-A  of  the  Act  and  it<br \/>\nstipulates  that  demand  must  be made within a period of five years from the<br \/>\nexpiry of the period to which the tax relates.   Admittedly,  in  the  present<br \/>\ncase,  the  demand has been made beyond the period of five years and it is not<br \/>\nlegally sustainable.\n<\/p>\n<p>                7.  The other contention raised by the learned counsel for the<br \/>\npetitioner is that no prior notice as stipulated under Section 15-A of the Act<br \/>\nwas issued to the petitioner  and  no  enquiry  as  contemplated  therein  was<br \/>\nconducted  by  the respondent before making the demand and hence the demand is<br \/>\nnot valid in law.  The counter affidavit filed by the respondent is silent  on<br \/>\nthis aspect.    The  respondent  neither  issued  notice  nor  considered  the<br \/>\nnecessity for making any enquiry before issuing the demand and  the  mandatory<br \/>\nprovision  under  Section 15-A of the Act has not been followed and the demand<br \/>\nis not valid in law.\n<\/p>\n<p>                8.  In the result, the writ petition is allowed as prayed for.<br \/>\nNo costs.\n<\/p>\n<p>Index:yes.\n<\/p>\n<p>Internet:yes.\n<\/p>\n<p>gb.\n<\/p>\n<p>To:\n<\/p>\n<p>The Regional Transport Officer,<br \/>\nVirudhunagar.\n<\/p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Madras High Court T.R.Varadarajan vs The Regional Transport Officer on 10 February, 2004 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 10\/02\/2004 CORAM THE HONOURABLE MR.JUSTICE C.NAGAPPAN WRIT PETITION NO.17506 OF 1997 T.R.Varadarajan &#8230; Petitioner -Vs- The Regional Transport Officer, Virudhunagar. &#8230; Respondent Writ Petition under Article 226 of the Constitution of India praying [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,13],"tags":[],"class_list":["post-121366","post","type-post","status-publish","format-standard","hentry","category-high-court","category-madras-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>T.R.Varadarajan vs The Regional Transport Officer on 10 February, 2004 - Free Judgements of Supreme Court &amp; 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