IN THE HIGH COURT OF KERALA AT ERNAKULAM

PRESENT:

THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR

WEDNESDAY, THE 23RD DAY OF DECEMBER 2015/2ND POUSHA, 1937

WP(C).No. 38492 of 2015 (J)

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PETITIONER :

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MAJEESH M.R.,

PROPRIETOR, POWER ELECTRICALS AND HOME SERVICES

N.S.S.KARAYOGAM BUILDING, CHAMPAKULAM P.O.,

ALAPPUZHA DISTRICT, PIN-688505.

BY ADV. SRI.MOHAMMED RAFIQ

RESPONDENTS :

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1. THE COMMERCIAL TAX OFFICER-I

HARIPAD, ALAPPUZHA DISTRICT, PIN-690550.

2. THE STATE OF KERALA,

REPRESENTED BY THE SECRETARY, TAXES DEPARTMENT

GOVERNMENT SECRETARIAT, THIRUVANANTHAPURAM

PIN-695001.

R1 & R2 BY GOVT. PLEADER SMT. K.T. LILLY

THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION

ON 23-12-2015, THE COURT ON THE SAME DAY DELIVERED THE

FOLLOWING:

Mn

...2/-

WP(C).No. 38492 of 2015 (J)

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APPENDIX

PETITIONERS' EXHIBITS :

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EXT. P1

THE TRUE COPY OF THE CERTIFICATE OF REGISTRATION

DATED 20.09.2014 ISSUED BY THE 1ST RESPONDENT TO THE

PETITIONER UNDER RULE17(14) OF THE KVAT RULES, 2005.

EXT. P2

THE TRUE COPY OF THE REPLY DATED 17.10.2015 SUBMITTED BY

THE PETITIONER BEFORE THE 1ST RESPONDENT AGAINST PRE

ASSESSMENT NOTICE ISSUED FOR THE YEAR 2013-14.

EXT. P3

THE TRUE COPY OF THE ASSESSMENT ORDER

NO.32041233494/2013-14 DATED 16.11.2015 RELATING TO THE YEAR

2013-14 PASSED BY THE 1ST RESPONDENT UNDER SECTION 25(1)OF

THE KERALA VALUE ADDED TAX ACT, 2003.

RESPONDENT(S)' EXHIBITS : NIL

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//TRUE COPY//

P.S. TO JUDGE

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A.K.JAYASANKARAN NAMBIAR, J.

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W.P.(C) No.38492 of 2015

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Dated this the 23^rd day of December 2015

JUDGMENT

The challenge in the writ petition is against Ext.P3 order of

assessment passed in relation to the petitioner, for the assessment

year 2013-14. The grievance of the petitioner in the writ petition

against Ext.P3 order is essentially that, although there was an

offence registered against the petitioner in connection with a

transportation of the goods, and the sale value that was determined

by the intelligence authority was only in an amount of Rs.43,048/-,

the assessing authority added an amount of Rs.10,00,000/- for

probable omission and suppression, pursuant to the said offence,

that was detected, and the sales turnover that was proposed for

assessment was taken as Rs,10,43,048/-. It is the specific case of

the petitioner that the addition of Rs.10,00,000/- was deliberately

done, so as to bring the petitioner within the ambit of taxation,

under the KVAT Act.

2. I have heard the learned counsel for the petitioner and the

learned Government Pleader for the respondents.

W.P.(c).No.38492 of 2015

: 2 :

On a consideration of the facts and circumstances of the case

and the submissions made across the Bar, I find from Ext.P3 order

that there is absolutely no basis discernible in the order for the

addition of an amount of Rs.10,00,000/- for the offence that was

detected in relation to the petitioner. I find force in the contention of

the petitioner that the addition of Rs.10,00,000/- to the turnover

detected was solely for the purpose of getting over the contention of

the petitioner that he would fall below the taxable limit specified in S.

6 of the Act, for the purpose of assessment. I, therefore, quash Ext.P3

order as devoid of any reasoning and illegal, and allow the writ

petition with consequential reliefs to the petitioner.