M/S. Inspirisys Solutions Ltd vs State Tax Officer (Investigation ...
2021 Latest Caselaw 1763 Ker

               IN THE HIGH COURT OF KERALA AT ERNAKULAM

                               PRESENT

                 THE HONOURABLE MR. JUSTICE A.M.BADAR

     MONDAY, THE 18TH DAY OF JANUARY 2021 / 28TH POUSHA, 1942

                       WP(C).No.1215 OF 2021(B)


PETITIONER:

               M/S. INSPIRISYS SOLUTIONS LTD.,
               (FORMERLY KNOWN AS M/S. ACCEL FRONTLINE LIMITED),
               (REGISTERED OFFICE: 1ST FLOOR,
               DOWLATH TOWERS,
               NEW DOOR NO.57,59, 61 & 63,
               TAYLORS ROAD,
               KILPAUK, CHENNAI - 600 010),
               REGIONAL OFFICE : 1ST FLOOR,
               64/2401,
               VITHAYATHIL BUILDINGS,
               VEEKSHANAM ROAD,
               KOCHI - 682 018,
               REPRESENTED BY SMT. SANDHYA PRAMOD,
               REGIONAL CONTROLLER.

               BY ADVS.
               SRI. V. P. NARAYANAN
               SMT. NISHA JOHN

RESPONDENTS:

      1        STATE TAX OFFICER (INVESTIGATION BRANCH)
               STATE GOODS AND SERVICE TAX DEPARTMENT,
               ERNAKULAM AT EDAPPALLY,
               COCHIN - 682 024.

      2        THE DEPUTY COMMISSIONER (APPEALS),
               STATE GOODS & SERVICE TAX DEPARTMENT,
               TAX COMPLEX,
               PERUMANOOR,
               ERNAKULAM,
               COCHIN - 682 015.

      3        THE COMMISSIONER OF COMMERCIAL TAXES,
               COMMERCIAL TAXES DEPARTMENT,
               PUBLIC OFFICE BUILDINGS,
               MUSEUM,
               THIRUVANANTHAPURAM - 695 033.
 WP(C).No.1215 OF 2021

                               2


      4      THE STATE TAX OFFICER,
             1ST CIRCLE,
             STATE GOODS & SERVICE TAX DEPARTMENT,
             OLD RAILWAY STATION ROAD,
             KACHERIPADY, COCHIN - 682 016.


             SMT. THUSHARA JAMES, GP

     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
18.01.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 WP(C).No.1215 OF 2021

                                     3



                                  JUDGMENT

Dated this the 18th day of January 2021

The petitioner is a registered dealer as well as an

assessee before the 4th respondent conducting the

business which is comprising of providing maintenance

services to several Government and semi Government

agencies including the Commissioner of Commercial Taxes

Department. Feeling aggrieved by the assessment for

the year 2016 - 2017 made by the 4 th respondent, on

earlier occasion the petitioner had approached this Court

with Writ Petition (C) bearing No.16238 of 2020 on 10 th

August, 2020. The said petition came to be disposed of

with a direction to the 1st respondent therein that is State

Tax Officer to pass fresh order in lieu of Ext.P1

assessment order after hearing the petitioner.

2. The learned counsel for the petitioner argued

that the Officer making assessment that is 4th respondent WP(C).No.1215 OF 2021

has issued notices in pursuant to the judgment of this

Court and first such notice was immediately on the very

next date of passing the judgment by this Court. The

learned counsel further argued that the position of law in

the matter of assessment of turnover as per annual

maintenance contract is settled. As per entry No.69 of

IIIrd schedule of the KVAT Act, the tax payable is @ 5%

on all I.T products and Entry No.22 thereof relates to

computer systems and peripherals, electronic diaries,

printers and monitors etc. With this it is argued that all

earlier returns submitted by the petitioner were accepted

by working outed taxable turnover by deducting 50%

towards labour and other charges. However, now on this

occasion the 1st respondent is not adhering to this settled

law regarding assessment and the petitioner therefore

wants an opportunity of personal hearing before the 1 st

respondent. It is argued that the application at Ext.P10

for grant of personal hearing was also made before the 1st

respondent apart from a representation at Ext.P7 to the WP(C).No.1215 OF 2021

Commissioner of Commercial Taxes enumerating the

difficulties faced by the petitioner. The learned counsel

for the petitioner submits that purpose of the petition

would be served if the petitioner through his counsel is

permitted to work out in matter of assessment before the

1st respondent.

3. Heard both sides.

4. This Court has already set aside the earlier

assessment made by the 1st respondent vide judgment

dated 10th August, 2020 in Writ Petition (C) No.16238 of

2020 with a specific observation that the 1 st respondent

therein shall passed fresh order as directed after hearing

the petitioner.

In this view of the matter, the instant Writ Petition is

disposed of with a direction to the 1st respondent to hear

the petitioner or his learned counsel at 11.30 A.M on

27.01.2021 and thereafter proceeded to finalise the

assessment keeping in mind, the objections raised by the

petitioner during personal hearing as well as by his WP(C).No.1215 OF 2021

several representations including representation at Ext.P7

address to the Commissioner of Commercial Taxes.

Sd/-

A.M.BADAR JUDGE

SPR WP(C).No.1215 OF 2021

APPENDIX PETITIONER'S/S EXHIBITS:

EXHIBIT P1 TRUE COPY OF THE NOTICE DATED 17.03.2020 ISSUED BY THE 4TH RESPONDENT.

EXHIBIT P2 TRUE COPY OF THE REPLY DATED 30.05.2020 SUBMITTED BY THE PETITIONER BEFORE THE 4TH RESPONDENT.

EXHIBIT P3 TRUE COPY OF THE ASSESSMENT ORDER DATED 22.07.2020 PASSED BY THE 4TH RESPONDENT.

EXHIBIT P4 TRUE COPY OF THE NOTICE U/S 67(1) DATED 15.09.2017 ISSUED BY THE 4TH RESPONDENT.

EXHIBIT P5 TRUE COPY OF THE JUDGMENT DATED 10.08.2020 IN WP(C)NO.16238 OF 2020 OF THIS HON'BLE COURT.

EXHIBIT P6 TRUE COPY OF THE NOTICE DATED 11.08.2020 ISSUED BY THE 4TH RESPONDENT.

EXHIBIT P7 TRUE COPY OF THE REPRESENTATION DATED 23.09.2020 SUBMITTED BY THE PETITIONER BEFORE THE 3RD RESPONDENT.

EXHIBIT P8 TRUE COPY OF THE NOTICE DATED 12.10.2020 ISSUED BY THE 4TH RESPONDENT.

EXHIBIT P9 TRUE COPY OF THE REPLY DATED 13.08.2020 SUBMITTED BY THE PETITIONER BEFORE 4TH RESPONDENT.

EXHIBIT P10 TRUE COPY OF THE REPLY DATED 16.10.2020 SUBMITTED BY THE PETITIONER BEFORE THE 4TH RESPONDENT.

WP(C).No.1215 OF 2021

EXHIBIT P11 TRUE COPY OF THE NOTICE DATED 28.12.2020 ISSUED BY THE 4TH RESPONDENT.

RESPONDENT'S/S EXHIBITS: NIL.