Abhiram Infra Projects Pvt. Ltd. Vs Additional Commissioner of Commercial Taxes (Karnataka High Court)
The Karnataka High Court heard an appeal under Section 66(1) of the Karnataka Value Added Tax Act, 2003 (KVAT Act), challenging an order dated 22.05.2023 passed under Section 64 of the KVAT Act and the consequential demand notice dated 21.07.2023. The dispute related to the assessment year 2014-15. The appellant, a registered dealer under the KVAT Act, had been subjected to a reassessment under Section 39(1), following which tax liability was paid. Subsequently, an order under Sections 36 and 37 regarding interest on delayed payment of tax was passed. Thereafter, proceedings under Section 64(1) were initiated by issuance of a notice dated 28.07.2021, followed by a revised notice dated 23.02.2023, culminating in the impugned revisional order.
The assessee contended that the original order sought to be revised had been passed on 31.07.2017 and that the revisional proceedings under Section 64 were barred by limitation as the final revisional order was passed beyond four years. It was argued that Section 64 required both initiation and completion of revisional proceedings within four years. The assessee also asserted that although the notice was dated 28.07.2021, it was actually received only in August 2022 and alleged that the notice was antedated. Reliance was placed on State of Andhra Pradesh v. M. Ramakishtaiah and Co. and A. Vykuntappa Setty & Co. v. Commissioner of Commercial Taxes, Bangalore.
