Assistant Commissioner Vs Ashok Kumar Sureka (Calcutta High Court)
The Hon’ble Calcutta High Court in Assisghtant Commissioner State Tax, Durgapur Range, Government of West Bengal v. Ashok Kumar Sureka [MAT 470 of 2022 With I.A. No. CAN 1 of 2022 dated May 12, 2022] affirmed the order passed by the Single Bench allowing the assessee to get the refund of tax and penalty paid under protest, for detention of vehicle due to expiry of the e-way bill. Held that, the Revenue Department could not have intercepted or detained the vehicle in the absence of a second e-way bill as the first e-way bill was valid during the interception period.
Facts:
Ashok Kumar Sureka (“the Respondent”), is the proprietor of Shubham Steel, engaged in the wholesale of metals (“the Goods”).
This appeal has been filed by Revenue Department (“the Appellant”) against the order of the dated March 1, 2022 passed by the Hon’ble Calcutta High Court in W.P.A. No.11085 of 2021, wherein, the Court set aside the order of the Commissioner (Appeals) confirming the Order-in-Original (“OIO”) for detention of the goods, on the grounds of the expiry of the e-way bill and held that the Respondent will be entitled to get the refund of penalty and tax paid under protest subject to compliance of all legal formalities.
The Respondent contended that one of the e-way bill which was raised on September 7, 2019 was valid upto September 9, 2019. Further, another e-way bill expired at midnight on September 8, 2019 since the distance was only 9Km, the e-way bill was valid only for one day. However, the Goods were transported on September 9, 2019 and the delay of few hours was not deliberate and wilful, but due to break down of the vehicle.
The Appellant contended that the Respondent never stated anything about the vehicle being broken down or that non-extension of the validity of the e-way bill was not deliberate and willful. Further, the Court ought not to have allowed the Respondent to get the refund of the tax and penalty paid, by accepting the said argument and granting the relief.
Issue:
Whether the case warranted detention of the vehicle/goods and collection of tax and penalty?
Held:
The Hon’ble Calcutta High Court in MAT 470 of 2022 dated May 12, 2022 with I.A. No. CAN 1 of 2022 held as under:
