1976 (12) TMI 178 - HC - VAT and Sales Tax

Summary

Issues:
Jurisdiction of the Board of Revenue to revise an order passed by the Joint Commercial Tax Officer under section 34 of the Tamil Nadu General Sales Tax Act, 1959.

Analysis:
The case involved an appeal under section 37 of the Act against the order of the Board of Revenue (Commercial Taxes), Madras. The Board revised the order of the Joint Commercial Tax Officer, Mount Road III, dated 22nd September, 1971, which implemented the decision of the Deputy Commissioner. The appellants objected to the jurisdiction of the Board to revise the order. The Court held that the Board had no jurisdiction to pass the impugned order as it did not fall under the orders enumerated in section 34 of the Act for revision.

The Court emphasized that the order of the Joint Commercial Tax Officer was a consequential order giving effect to the decision of the Deputy Commissioner, and it was not an order under the Act itself. Even if it fell under section 34, the Board could not revise it since the period of five years for revision had expired. The Board mistakenly assumed it could rectify errors in the original order dated 26th December, 1969, through the consequential order of the Joint Commercial Tax Officer dated 22nd September, 1971, which was beyond the limitation period for revision.

The Court referred to previous judgments to support its decision, highlighting that the Board's order was beyond the five-year limitation period from the original order date. Consequently, the Court allowed the tax appeal, set aside the Board's order dated 21st September, 1976, and awarded costs to the appellants.