COMMISSIONER TRADE TAX Vs. INDUSTRIAL CABLES INDIA LTD

JUDGEMENT

(1.) HEARD Sri Sanjeev Shankdhar, learned counsel for the revisionist. The brief fact of the case are that the assessee is a limited company and is engaged in manufacturing and sale of steel wires and cables. During the assessment year under consideration (1991-92), the A.O. found that the assessee has sold the steel wires against Form 3-B where no tax was charged. The A.O. opined that 4% tax is leviable on the steel wires. So, he levied the tax of Rs. 31,38,875.16/- at the rate of 4% on the steel wires. The A.O. also observed that it was the duty of the seller to realise the tax at the appropriate rate. Not being satisfied, the assessee filed an appeal before the First Appellate Authority who remanded the matter to the A.O. vide its order dated 21.3.1986. Being aggrieved by the same, the assessee filed second appeal before the Trade Tax Tribunal. The Tribunal after hearing both the parties and examining the record has accepted the plea of the assessee vide its impugned order dated 30.3.1996. Not being satisfied, the department is before this Court. With this background, I have heard learned counsel for the revisionist and gone through the material available on record. From the record, it appears that the assessee sold the goods against Form 3-B to the buyer. Form 3-B was received by the buyer from Sales Tax department. In Form 3-B, there was no endorsement made by the department regarding partial or full exemption of the tax. In the absence of any endorsement in Form 3-B, the assessee has sold the goods to the purchaser without charging any tax as there was no endorsement. When the Form 3-B was issued by the sales-tax department, then it was the duty of the department to rectify mistake, if any. For the mistake of the Department, the assessee cannot be penalised. In these circumstances, I find no reason to interfere with the order of the Tribunal as there is no illegality in it. No substantial question of law emerges from the Tribunal's order. The revision preferred by the department is devoid of merits and is hereby dismissed.