HIND LAMPS LIMITED Vs. COMMISSIONER OF SALES TAX

JUDGEMENT

(1.) The question involved in the present revision is whether the dealer was not entitled under the U.P. Sales Tax Act, 1948 for the adjustment made by it while depositing tax for the months of April, May and August, 1977, out of excess amount of tax deposited by it during the assessment years 1968-69 to 1971-72, which assessment were set aside in appeal and were remanded.

(2.) The factual scenario, which is almost undisputed, is that the applicant made adjustment of admitted tax in the months of April, May and August 1977, out of the excess amount of tax deposited by it for the earlier assessment years.

(3.) Against the assessment orders for the assessment years 1969-70 to 1971-72 the applicant filed various appeals before the Assistant Commissioner (Judicial), Sales Tax. The appeals were allowed and the matter was remanded for reconsideration by the assessing authority. The applicant had to deposit following amounts in respect of following assessment years which became due on account of remand order passed by the Assistant Commissioner (Judicial), Sales Tax : 1968-69 ... Rs. 74,8331969-70 ... Rs. 95,5061970-71 ... Rs. 1,35,6661971-72 ... Rs. 2,38,435 The applicant adjusted the above amount due to it in the payment of tax for the months of April, May and August, 1977. In the final assessment proceeding the assessing authority for the relevant assessment year 1977-78 vide order dated February 27, 1982 refused to grant adjustment of the said amount in the admitted tax liability for the months of April, May and August, 1977 on the ground that there is no such provision for adjustment under the Act and the dealer cannot itself adjust the outstanding dues payable to him by the department. Consequently he imposed interest for late payment to the said admitted tax liability which was sought to be adjusted by the dealer amounting to Rs. 48,845.18. The said order was confirmed by the first appellate authority as well as by the Tribunal vide order under revision.