9911796707
TMI Blog2009 (3) TMI 929X X X X Extracts X X X X X X X X Extracts X X X X ..... t to exhibit P3, within a period of two weeks from the date of receipt of a copy of this judgment. Thereupon, it is open to the petitioner to move an application for stay before the appellate authority. X X X X Extracts X X X X X X X X Extracts X X X X ..... age 241 supra directing the assessing officer to issue notice of demand for the purpose of recovering the arrears as a defaulter and to enable the assessee to move for stay in appeal. We have heard the Government Pleader appearing for the appellant and counsel appearing for the respondent. The CST assessment of the respondent for the year 1998-99 was completed vide annexure A1 dated October 30, 2002. Interest of Rs. 64,73,529 is seen demanded from May 1, 1999 till date of completion of assessment. The respondent filed appeal against the said assessment and the appellate authority directed modification of the assessment order. Pursuant to the order in appeal, the assessing officer revised the assessment vide exhibit P1 dated January 31, 200 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ention of the respondent based on section 3(1)(b) of the Kerala Taxation Laws (Continuation and Validation of Recovery Proceedings) Act, 1967 is that since there is increase in the demand consequent upon modification or rectification of assessment, the assessee is entitled to fresh notice of demand and in the absence of notice of demand the assessee cannot be treated as defaulter for the purpose of levy of interest and for recovery. We are of the view that the question whether fresh notice of demand is required or not does not arise in this case because rectification proposed was not only for the assessment issued but also for the notice of demand issued. In fact, respondent does not dispute that they were in receipt of notice of demand pur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tify notice of demand already issued. If rectification is carried out to demand notice, it has the effect of issuing fresh notice of demand and so much so there is no need to issue another notice of demand after rectifying the notice of demand already issued. Even though counsel for the respondent submitted that rectification was carried out without notice, we find that respondent's representative was present in the proceedings and therefore this contention raised is not tenable. We therefore allow the writ appeal by vacating the judgment of learned single judge and by holding that there is no necessity to issue fresh notice of demand in this case as rectification has the effect of issuing fresh notice of demand. The appellant is free t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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