COMMISSIONER SALES TAX Vs. RAM NARAIN PRATAP NARAIN

JUDGEMENT

(1.) AT the instance of the Revenue, following two questions have been raised in the present revisions. "1. Whether the Sales Tax Tribunal was legally justified to hold that Nagar Motha Oil, Pipermint Oil and Raunsa Oil fall under the entry of "Oil of all kinds" despite the fact that the aforesaid commodities fall under the category of an unclassified item and are liable for tax accordingly?

(2.) WHETHER on the facts and in the circumstances of the case, the Trade Tax Tribunal was legally justified to hold that the proceedings under section 21 are barred by limitation in view of the decision of Hon'ble High Court in the case of CST Versus Bhagwan Finance Corporation 1988-27 STL (34) and decision of Hon'ble Supreme Court in the case of Additional Commissioner Versus Jyoti Traders 1999 UPTC 45?". 2. For the assessment year 1976-77 under section 21 (2) of the U.P. Trade Tax Act (hereinafter referred to as "the Act"), the limitation for making the assessment was four years from the end of the assessment order, which expired on 31.03.1981, therefore, the assessment should be made by 31st March, 1981. The notice under section 21 of the Act was admittedly not issued within four years i.e. by 31st March, 1981, but was issued on 6th March, 1982 by U.P. Sales Tax (Amendment and Validation) Act, 1983 (U.P. Act no.16 of 1983), proviso to section 21 (2) of the Act was amended and the limitation to make assessment has been extended upto 31st December, 1982. Relying upon the decision of this Court in the case of M/S Jaiswal Colour Trading Company Versus Commissioner of Sales Tax reported in 1987 UPTC 504, Tribunal held that the proceeding under section 21 of the Act was barred by limitation inasmuch as the amendment was not applicable because the entire proceeding was closed when the amendment was introduced.

(3.) NOW coming to question no.1. Tribunal held that Nagar Motha Oil, Peppermint Oil and Raunsa Oil are covered under the entry " Oil of all kinds". In this regard, Tribunal held as follows: