Case Law Details
Ambey Mining Pvt Ltd Vs Commissioner of State Tax (Jharkhand High Court)
This article discusses a crucial ruling by the Jharkhand High Court in the case of Ambey Mining Pvt Ltd Vs. Commissioner of State Tax. The court found that Revenue cannot reissue show cause notices for a period already covered by an accepted First Appellate Order.
Analysis: The case involves a writ application filed by Ambey Mining Pvt Ltd seeking relief from two show cause notices issued by different authorities for the same period. The petitioner argued that the notices were attempting to reopen an already settled matter. The court examined the legality and propriety of the First Appellate Order dated 16-01-2021, which was accepted by the Revenue and had attained finality.
The court noted that the First Appellate Authority does not have the power to remand the matter back to the assessing authority. Therefore, initiating fresh proceedings by the lower authorities after the appellate order is contrary to the law and principles of res judicata. It also referred to precedents supporting the view that issuing second show cause notices on the same cause of action is impermissible.
Additionally, the court addressed the demand of interest for March 2020 and found that the petitioner was entitled to the benefit of a COVID-19 relaxation measure reducing the interest rate. The court directed the petitioner to pay the reduced amount of interest.
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