07 November 2009
DEAR SIR, I M A DEALER IN PACKING MATERIAL I SOLD GOODS TO THE UTENSILS EXPORTER AGAINST H FORM WHERE DURING MY ASSESSMENT THE SALES TAX OFFICER FOUND THAT THE SALE WICH WAS MADE AGAINST H FORM HAS BEEN DISALLOWED BECUZ THE EXPORTER HAS USED THE MATERIAL FOR PACKING THE GOODS IN INDIA AND HE HAS NOT EXPORTED THE PACKING MATERIAL. NOW THE ST OFFICER PANALISE ME THE WHOLE SUM AMOUNT WITH INTEREST AND PENALTY. I REQUEST U PLS ADVICE ME HOW TO ESCAPE FROM THIS SITUATION
08 November 2009
Since the assessment is completed on you, the next course of action is file an appeal before the higher authority concerned in your state. There is a settled view that, if the purchaser violates the declaration, then the price of the goods shall not be added to the turnover of the selling dealer but it will be added to the turnover of the purchasing dealer.
Citation :- Industrial Minerals and Metals Vs. Sales tax Officer (1991) 82 STC 357 (Orissa).