Order Imposing Penalty for Expired E-Way Bill to Be Set Aside in Absence of Deliberate or Willful Intent to Evade Tax | HC

Case Details: Ishaan Plastics (P.) Ltd. v. Deputy Commissioner of State Tax - [2023] 155 taxmann.com 463 (Calcutta)

Judiciary and Counsel Details

• • Md. Nizamuddin, J.
  • Ankit Kanodia, Ms Megha Agarwal & Jitesh Sah for the Petitioner.
  • A. Ray, T.M. Siddiqui & T. Chakraborty for the Respondent.

Facts of the Case

In the present case, the department intercepted a vehicle and found that goods were transported with e-way bill which was already expired. The Adjudication Order was passed imposing penalty for transporting goods in vehicle with expired e-way bill and Appellate Order was also passed confirming Adjudication Order. The petitioner filed writ petition by submitting that there was no intention of any evasion of tax and challenged the order of appellate authority.

High Court Held

The Honorable High Court noted that the department could not make out any case against petitioner that there was any deliberate or wilful intention of petitioner to avoid and evade tax. There was a time gap between the expiry of the bill and interception of the vehicle of about 9 hrs., which was less than a day.

In view of facts and circumstances of case, the Court held that the impugned orders of appellate authority and adjudicating authority were liable to be set aside and petitioner would be entitled to get refund of penalty.