Karnatka vat act order u sec 39(1) & 39(2)
Darshan
(Querist) 09 March 2013
This query is : Open
we have maintained books of Sales and Purchase n every such entry as required, and my client have never escaped any sale nor Purchase,CTO visited and Inspected Stock and recorded the Physical stocks and asked us to file an Trading Account, the Closing stocks on the date of inspection arrived to Rs 3,25,000/- and whereas the Physical Stock arrived to Rs 4,75,000/-, Being My client registered U Sec 15 of KVAT Act As Composition dealer, the Inspecting officer insisted us to pay Rs2000/ Penalty and Rs.1500 at 1% for Stock found in Excess. Later my Client was issued notice from Juridical CTO for Verification of Accounts and other Records to his satisfactory weather they are maintained as per Sec 31 of the Act. after verification the CTO found the books accounts in order Made
Reassessment and stated the Inspecting officer has levied Tax deeming the Stock excess found as per Trading Account filed as on dt of inspection was a SALE, and by my clients payment of penalty and tax on the excess turnover, Officer insists the dealer have confirmed his guilt by paying penalty and tax of Rs 1500, whereas the dealer should be imposed tax on the excess stock found as An URD purchase and should levy tax At Rate of 14.50%. How to appeal ? what is the substantial Question of Law,
