KRISHNA MOHAN AND CO Vs. STATE OF MYSORE

JUDGEMENT

(1.) This revision petition preferred by the assessee under section 23(1) of the Karnataka Sales Tax Act, 1957 (hereinafter called the Act), is directed against the order of the Sales Tax Appellate Tribunal, Bangalore, made on 20th September, 1972, in S.T.A. No. 259 of 1972.

(2.) The matter relates to the assessment year 1968-69. The assessee is an individual and on the return submitted by him an assessment order was made on 2nd August, 1969, on a taxable turnover of Rs. 4,28,540. Proceedings were initiated for bringing to assessment certain escaped turnover under section 12-A of the Act in the course of which the Additional Commercial Tax Officer issued a notice dated 18th January, 1971, purporting to be one under section 12(4) of the Act, to show cause as to why a penalty of Rs. 2,894.40 should not be levied for the concealment of a turnover of Rs. 1,28,640.00. To the said notice, the assessee filed his objections. The Commercial Tax Officer made an order of assessment under section 12-A of the Act on 3rd February, 1971, by which he levied a penalty of Rs. 2,894.40. The assessee did not prefer any appeal against the order of reassessment, but preferred an appeal disputing his liability to pay the penalty. The Deputy Commissioner of Commercial Taxes allowed the appeal on two grounds, viz., that the penalty order has been passed after a lapse of more than two years from the date of the original assessment order under section 12(4) of the Act and that the penalty under section 12(4) of the Act could be levied only at the time of making the assessment.

(3.) Aggrieved by the said order, the State preferred an appeal to the Sales Tax Appellate Tribunal which allowed the appeal holding that although the notice to show cause as to why penalty should not be levied mentioned that it was issued under section 12(4) of the Act, it should be treated as one issued under section 12-A(1-A) of the Act.