R. TEXTILES Vs. DEPUTY COMMERCIAL TAX OFFICER

JUDGEMENT

(1.) THE petitioner is a dealer engaged in the manufacture of cotton yarn. The petitioner has reported a total and taxable turnover of Rs. 75,49,198 and Rs. 63,21,045 and the assessment order was passed on July 10, 2006. The inter -State sales of cotton yarn were assessed to tax at the concessional rate of two per cent and the petitioner had filed C forms for the above turnover. The petitioner was allowed exemption on the turnover of Rs. 12,28,143 as consignment sales of cotton yarn.

(2.) SUBSEQUENTLY , the place of business was inspected by the enforcement wing officials on December 7, 2006 and they recovered certain original and duplicate copies of the C forms. Verification of the C forms revealed that for a single transaction two different C forms were submitted by the petitioner. The form 10 extract obtained from the petitioner at the time of inspection by the officials revealed that the bill numbers and value relied on vary with each other. In this connection C form No. 7205342 dated September 14, 2005 and No. 5857085 dated Nil were scrutinised by the Department and it was found that the seal said to have been fixed by the officials were found to be irrelevant as it contained the words 'Commercial Sales Tax Office' without mentioning the station of the assessing officer. Therefore, the assessing officer proceeded on the premise that the above two C forms filed in the office were bogus and need to be rejected as invalid.

(3.) LEARNED Counsel for the petitioner submitted that the assessing officer or the appellate authority is empowered to get further information which would be useful or relevant for the purpose of deciding as to whether eight C forms referred to in the show -cause notice are bogus or not. She has further submitted that the respondent has no jurisdiction to unilaterally reject the statutory C forms which are not under the control of the respondent and when the petitioner has proved the purchase, by producing gate pass of lorry receipts and invoices.