1982 (4) TMI 269 - HC - VAT and Sales Tax

Summary

Issues:
1. Compliance with notice under section 11(2) of the Act.
2. Determination of the nature of the order of the Assessing Authority dated 24th July, 1961.

Compliance with notice under section 11(2) of the Act:
The case involved General Sales Tax References where the petitioner, engaged in the business of gur, shakar, and vegetable ghee, was directed by the Assessing Authority to file monthly returns. The Assessing Authority issued notices in 1958 for assessment years 1956-57 and 1957-58. The petitioner partially complied with the directions in the notice under section 11(2) by fulfilling the first three points but only partially complying with the fourth point. The Financial Commissioner concluded that the dealer did not fully comply with the notice under section 11(2), leading to the judgment that the order of assessment dated 24th July, 1961, was under section 11(4) of the Act.

Determination of the nature of the order of the Assessing Authority dated 24th July, 1961:
The High Court, in a previous order, highlighted that failure to comply with the terms of the notice under section 11(2) would result in the order falling under section 11(4). The Financial Commissioner, after detailed analysis, found that the petitioner did not fully comply with the notice under section 11(2). Consequently, the judgment was made in favor of the petitioner-assessee and against the department, stating that the order of assessment dated 24th July, 1961, was indeed an order under section 11(4) of the Act. The references for the assessment years 1956-57 and 1957-58 were disposed of accordingly, with no order as to costs.