COMMISSIONER, COMMERCIAL TAX UTTARAKHAND Vs. RAHIS AHMAD

JUDGEMENT

(1.) The revision is filed by the State and arises from the following facts. The respondent assessee is a registered dealer, who trades in wood and wood products. In the assessment year in question, he had effected sales of its products in favour of two dealers operating in the State of Uttar Pradesh. The assessment was completed on the basis that in respect of the sales effected by the respondent assessee to the dealers in the State of Uttar Pradesh, on the basis of inter-state sale effected to the buyers in the State of Uttar Pradesh, a transaction would not attract any tax. Apparently, this was done on the basis of Form 'C' made available by the respondent dealer. Later on, power under Section 22 of the Uttar Pradesh Trade Tax Act, 1948 (hereinafter referred to as the Act) was invoked. By the assessment, in respect of the transaction by way of inter-state sale it came be visited with tax at the rate of 2.5%.

(2.) Feeling aggrieved, the assessee appealed. The appeal was successful. Resort to Section 22 of the Act was frowned upon. The appeal carried by the State before the Tribunal was not successful and it is feeling aggrieved that the State is before us.

(3.) We heard learned Additional Advocate General for the State Shri A.S. Rawat and learned Senior Counsel for the revisionist Shri Dhruv Agarwal.