2012 (9) TMI 903 - HC - VAT and Sales Tax

Summary

Issues Involved:
The judgment involves the quashing of reassessment order u/s 19 of the Assam General Sales Tax Act, 1993, and the validity of the reassessment proceedings u/s 21 of the Act.

Quashing of Reassessment Order:
The petitions sought the quashing of the reassessment order dated March 3, 2011, for the assessment years 2003-04, 2004-05, and 2005-06, as it was barred by limitation u/s 19 of the Act. The revisional authority had set aside the earlier assessment due to this limitation. However, the assessing authority proceeded with reassessment, leading to an ex parte assessment before the scheduled hearing date. The petitioner argued that reassessment was not justified due to the limitation issue and the ex parte proceedings were premature.

Validity of Reassessment Proceedings:
The Revenue contended that the reassessment was within the time limit u/s 21 of the Act, as the Commissioner had granted sanction on March 21, 2011. They argued that the earlier assessment being quashed did not prevent a fresh assessment after obtaining the necessary sanction. The court found merit in this argument and held that the reassessment was not barred by limitation. The court directed the assessing authority to consider the petitioner's viewpoint and conduct a fresh assessment after providing a proper hearing, disregarding the earlier ex parte assessment.

Conclusion:
The High Court disposed of the petitions by directing that the earlier ex parte assessment should not be enforced. Instead, a fresh assessment was to be conducted after giving the petitioner an opportunity to present their case. The petitioner was instructed to appear before the assessing authority on December 17, 2012, for this purpose.