HEMCHANDBHAI & CO Vs. STATE OF GUJARAT

JUDGEMENT

(1.) The assessee was a dealer registered under the Bombay Sales Tax Act, 1959 (hereinafter referred to as "the Bombay Act"), and the Central Sales Tax Act, 1956 (hereinafter referred to as "the Central Act"). It carried on the business of oil-seeds, jira, variali, etc., at Patan in Mehsana District. By an order made on 4th January, 1967, in exercise of the power conferred by section 32(1) of the Bombay Act read with rules 24 and 29 of the Bombay Sales Tax Rules, 1959 (hereinafter referred to as "the Bombay Rules"), the competent authority permitted the assessee to furnish, with effect from the date of the said order, returns in form 18 for the periods specified in column 1 of the schedule forming part of the order (in lieu of the quarterly returns) on or before the dates specified in column 2 of the said schedule on the condition that the assessee should pay the amounts specified in column 3 of the said schedule on or before the date specified in column 4 thereof. The said schedule, which has a bearing on the decision of this case, is reproduced hereunder : <FRM>JUDGEMENT_16_LAWS(GJH)12_1981_1.html</FRM> <FRM>JUDGEMENT_16_LAWS(GJH)12_1981_1.html</FRM>

(2.) The Bombay Act was in force up to 5th May, 1970. On and with effect from 6th May, 1970, the Gujarat Sales Tax Act, 1969 (hereinafter referred to as "the Gujarat Act"), came into force. Section 88 of the Gujarat Act repealed the Bombay Act.

(3.) On 4th May, 1970, the State Government amended the Bombay Rules by inserting rule 23A in the said Rules in exercise of the powers conferred by section 74 of the Bombay Act. According to the department, the effect of the enactment of the said rule read with rule 22 of the Bombay Rules, so far as the assessee is concerned, was that for the the assessment period from April, 1970, to 5th May, 1970, it was required to furnish the return and to pay the tax due according to such return on or before 30th June, 1970. The Tribunal has stated in its order that the assessee was required to furnish such return on or before 6th June, 1970. However, at this stage, the department does not dispute that the return was required to be furnished not before 6th June, 1970, but before 30th June, 1970. The department's stand has been that the permission granted under the Bombay Act to the assessee on 4th January, 1967, requiring him to furnish the return for the period from 1st April, to Asho Vad Amas on or before 30th November, and to pay tax in the sum of Rs. 451 or the tax due according to the assessee's account from 1st April, to Asho Vad 30 on or before 31st August, stood superseded as aforesaid by the enactment of rule 23A read with rule 22 of the Bombay Rules.