SALES SERVICE COMPANY Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) THE assessee has preferred this tax case appeal under section37 of the Tamil Nadu General Sales Tax Act, 1959 (hereinafter referred to as "the Act"), against the order of the Joint Commissioner dated May 27, 1988, in a suo motu revision under section34 of the Act, in relation to the assessment year 1982-83.

(2.) THE only question involved in this tax case is whether there is a sale of 80 Honda portable generators at Madras under the Act to the extent of Rs. 5, 36, 000. THE order of the Joint Commissioner set aside the order of the Appellate Assistant Commissioner dated October 30, 1986 and restored the assessment order dated October 14, 1985, passed under section16 of the Act by the Deputy Commercial Tax Officer, Inter-State Investigation Cell, bringing to tax the abovesaid sales turnover of Rs. 5, 36, 000 and levying a penalty of Rs. 96, 480 thereon.

(3.) HOWEVER, on appeal by the assessee, the Appellate Assistant Commissioner deleted the assessment and levy of penalty on the following reasoning :