Priyanka Motors Vs State of Maharashtra & Ors (Bombay High Court)
The Bombay High Court considered a petition challenging the Maharashtra Sales Tax Tribunal’s order dated 29 August 2024 dismissing the petitioner’s VAT Second Appeal No. 219 of 2023 due to the absence of the petitioner’s consultant and the subsequent order dated 24 October 2024 refusing restoration of the appeal. The petitioner contended that under Section 26(5)(a) of the Maharashtra Value Added Tax Act, 2002 (MVAT Act), the Tribunal has no authority to dismiss an appeal for default or non-prosecution and is required to decide the appeal on its merits. Reliance was placed on M/s. National Building Construction, Nagpur & Anr vs State of Maharashtra & Ors and Balaji Steel Re-rolling Mills vs Commissioner of Central Excise and Customs.
The High Court referred to the observations made in National Building Construction, which reproduced Section 26(5)(a) of the MVAT Act and held that the statutory provision prevails over procedural rules. It noted that the appellate authority must exercise the powers expressly provided under the statute and decide appeals in the manner prescribed therein. The Court also referred to Balaji Steel Re-rolling Mills, where similar provisions under the Central Excise Act were considered, and it was held that substantive statutory provisions prevail over procedural rules permitting dismissal for absence.
