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TMI Blog2015 (5) TMI 63X X X X Extracts X X X X X X X X Extracts X X X X ..... stituted by 'and’, after which it is now provided under the Act to the effect that the Revisional Authority can cancel the assessment order and direct fresh assessment, which would clearly mean that the same has to be read in conjunction and not separately. With this amendment, it is further fortified that after cancelling or setting aside the order of assessment, the Revisional Authority can only direct for a fresh assessment and not proceed to pass an order of reassessment. Thus, we are of the firm opinion that this is a case where the Revisional Authority has clearly exceeded its jurisdiction in proceeding to reassess the case and to that extent, the order passed by the Revisional Authority is wholly unjustified in law and liable to be q ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tral Excise on the basis of which, notice under S.63 A of the KVAT Act was issued to the appellant on 16.12.2013. By order dated 12.11.2014 passed by the respondent, the Joint Commissioner of Commercial Taxes / Revisional Authority, after setting aside the assessment order, proceeded to pass reassessment order under S.63 A of the KVAT Act. Challenging the said order, the appellant filed WPs 5031-33 / 2015 and 5955-87/2015 which have been dismissed by the learned Single Judge by judgment and order dated 13.12.2015 on the ground of availability of alternate remedy to the petitioner/appellant of filing an appeal before the Tribunal under S.63 of the KVAT Act. Aggrieved by the same, these writ appeals are filed. We have heard Sri Sarangan, S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t orders had been set aside in revision. S.63 A of the KVAT Act provides for revisional powers for the Joint Commissioner. The relevant sub-section (1) of S.63 A is reproduced below: S:63-A: Revisional Powers of Joint Commissioner (1) The Joint Commissioner may on his own motion call for and examine the record or any order passed or proceeding recorded under this Act and if he considers that any order passed therein by any officer, who is not above the rank of a Deputy Commissioner, is erroneous in so far as it is prejudicial to the interest of the revenue, he may, if necessary, stay the operation of such order for such period as he deems fit and after giving the person concerned an opportunity of being heard and after making or ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that once the order of the Assessing Officer was set aside, it would be impermissible for the Revisional Authority to re-do the assessment / fresh assessment. On the other hand, learned counsel for the respondents has submitted that the powers of the Revisional Authority under S.63 A of the Act are very wide and as such, the Revisional Authority could have passed a fresh assessment order after canceling or setting aside the assessment order. It is contended that the said section provides that the Revisional Authority may pass such order as the circumstances of the case may justify, including the order of enhancing or modifying the assessment or canceling the assessment and directing fresh assessment. Much emphasis has been laid on the wo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , even while considering that after canceling the assessment order 'or directing a fresh assessment (as was there in S.22 A of the Karnataka Sales Tax Act), the Division Bench held that passing of a fresh assessment order by the Revisional Authority was wholly impermissible. The relevant paragraph 8 of the said judgment in the case of Shankar Constructions Company (supra) is reproduced below: Dealing with the importance of S.22A, we have recounted in some detail the areas of dispute between the counsel before us and the subteleties of the arguments canvassed by them. We do consider that the point of law raised is one of importance because it touches the all important question as to whether the revisional authority is invested with u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion for upholding the submissions canvassed by Sri S Narayana because it is quite elementary that when a fresh assessment is done, there could always be grounds on which one of the parties is aggrieved and the law prescribes a corrective remedy by way of appeal, revision, etc. If the revisional authority which is a highly placed authority of the department, is to exercise the powers of doing a fresh assessment, then the right of appeal, revision etc., is totally annihilated and this could never be the intention of the Legislature. It is therefore abundantly clear to us that the objection canvassed before us by the appellant s learned counsel is well-founded and that the same is liable to be upheld. We see no reason to disagree with the v ..... X X X X Extracts X X X X X X X X Extracts X X X X
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