ORDER :

1. The petitioner herein is challenging the order dated 17.01.2022 passed by the Gujarat Value Added Tax Tribunal whereby it ordered the pre-deposit of tax of Rs. 3 crores on the basis of Second Appeal No. 593 of 2021.

2. The petitioner is a registered dealer under the Gujarat Value Added Tax Act, 2003 (‘the VAT Act’ hereinafter) and Central Sales Tax Act, 1956 (‘the CST Act’ hereinafter). The petitioner is engaged in the business of reselling motor cycles, scooter and their parts as well as having the service station of the two wheelers. The present petition concerns the Assessment year 2016-17. The purchases and the sales made by the petitioner were admitted in returns filed under the VAT Act and the CST Act.

2.1 The Assessment Order passed by the Assistant Commissioner of State Tax, Godhara, Unit-46, Panchmahal on 31.03.2021 for the Financial Year 2016-17.

2.2 The Assessing Authority issued notice for Assessment under section 34(2) of the VAT Act and the CST Act. The petitioner remained present. The Assessing Officer was in a hurry to complete the assessment and the order was passed on 31.03.2021, where it had not accepted the sales as per audited balance sheet received by him from the Income Tax Department and has taken the base of purchases made against the Form ‘C’ from the online data available on the commercial tax website. It also considered the same to be suppressed purchases without providing data and details. It eventually worked out the total sales at Rs. 50,37,28,684/- on the basis of sales disclosed at the time of surprise visit and imposed the tax @ 15% of the turnover which was followed by demand of tax, interest and penalty.

2.3 The challenge was made before the Deputy Commissioner (Appeals) who granted the stay against the recovery of deposit by deposit of partial amount of Rs. 60,64,430/- against the total demand and the stay was granted.

2.4 The said authority canceled the stay order vide order dated 12.07.2021 and directed to pay the balance sum of total demanded amount of Rs. 16,24,82,295/-. The First Appeal was dismissed on 24.08.2021 for non-payment of pre-deposit.

2.5 Thereafter, Second Appeal No. 593 of 2021 was preferred. The respondent authority initiated the recovery proceedings against the petitioner and hence, the petitioner made representation. The properties of the petitioner were attached by the respondent authorities and secured by assets worth approximately Rs. 61 Crore.

2.6 The VAT Tribunal passed an order on 17.01.2022 and directed the full amount of tax of Rs.3 Crore as a condition of pre-deposit to be payable within a period of one month on or before 28.02.2022.

2.7 The grievance on the part of the petitioner is that the VAT Tribunal decided the entire Second Appeal at the pre-deposit stage of hearing. It adjudicated and decided that the petitioner had collected tax and not paid the Government Authority. The assessment by the Assessing Officer has been done on the basis of assumption and presumption. The First Appellate Authority also had vacated interim protection despite having complied with the order of pre-deposit. The respondent authorities denied access to the remedies provided by law and have placed their onerous conditions.

3. The petitioner is before this Court seeking the following reliefs:

“(A) Your Lordships may be pleased to admit and allow this writ petition.

(B) Your Lordships may be pleased to issue appropriate writ order or direction quashing and setting aside the impugned order dated 17-01-2022 of the Gujarat Vat Tribunal.

(C) Your Lordships may be pleased to direct hearing of Second Appeal no 593 of 2021 on merits without Pre-deposit of Rs. 3 Crores.

(D) Pending admission hearing and final disposal of this petition Lordships, may be pleased to grant interim as well as Ad-interim reliefs and thereby stay the recovery as well as all the recover proceedings for the AY 2016