RANI SAVITHRI Vs. ASSISTANT COMMISSIONER

JUDGEMENT

(1.) The main question that calls for determination in this writ appeal is as to the liability of a member of a dissolved firm for the sales tax assessed on pre-dissolution turnover of the firm,

(2.) Appellant was a partner of the firm S.N. Oil Mills, Alleppey which was registered under the Kerala General Sales Tax Acton 1-4-1571. The partnership was dissolved on 1-4-1976. First respondent assessed the firm under the Kerala General Sales Tax Act (for short the K.G.S.T. Act) on the return and turnover of the firm for the period 1973-74, 1974-75 and 1975-76. Exts.P3, P4 and P5 respectively are the assessment orders. According to the appellant the appeal filed by the firm against the assessment for the period 1975-76 was allowed as per Ext. P8 order and the Government look up the matter in further appeal which is pending before the Sales Tax Appellate Tribunal. While so a certificate for an amount of Rs.58,861.00 was issued for recovery. Appellant challenged the same in O.P. No.2767 of 1987-D on the ground that no assessment is possible under K.G.S.T. Act after dissolution of the firm, and that a member of the firm cannot be made personally liable for the tax on such turnover of the dissolved firm. It was also her case that since no notice was served on her the whole proceeding of assessment is vitiated.

(3.) Learned single Judge dismissed the O.P. holding that the appellant's contention that a dissolved firm cannot be assessed on the pre-dissolution turnover cannot be sustained in view of S.21A(1) and (3) of the K.G.S.T. Act. This appeal is directed against the judgment of the learned single Judge.