COMBINED INDUSTRIES LIMITED Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) THE present revision petition relates to assessment made under the Central Sales Tax Act, 1956 (in short, "the Central Act") for the assessment year 1981-82. The original assessment against the petitioner was completed on June 13, 1984. Subsequently, pursuant to certain seizures in relation to the business transactions of the petitioner, it was subjected to reassessment proceeding which culminated in a reassessment order dated December 28, 1988. The only question raised on behalf of the petitioner is that keeping in view the provisions of section 12a of the Karnataka Sales Tax Act, 1957 (in short, "the State Act") the order of reassessment is barred by limitation.

(2.) SECTION 9 (2) of the Central Act, inter alia, empowers the authorities under the State Act to assess or reassess a dealer in relation to Central sales tax as per the provisions of the State Act. Section 12a of the State Act provides for reassessment and also prescribes the time limitation for the same till July 31, 1985; and the period of limitation so provided was 5 years from the expiry of the year to which the tax related. With effect from August 1, 1985, by Act 27 of 1985, the period of 5 years was substituted by 10 years. Again from April 1, 1988, by Act 15 of 1988, it was reduced to 8 years.

(3.) IN the case of Mahaveer Drug House v. Assistant Commissioner of Commercial Taxes [1991] 82 STC 388, para 4, which has been noticed with approval by us in the case of Combined Industrial Limited v. State of Karnataka [1999] 112 STC 225 (Kar); ILR 1996 Kar 822, it has been held by this Court that :