STATE OF ANDHRA PRADESH Vs. KALAPPA

JUDGEMENT

(1.) IN this tax revision case, under section 22 (1) of the Andhra Pradesh General Sales Tax Act, 1957 (for short "the Act"), the State is the petitioner. The assessment of the respondent-assessee under the Act was completed by the Commercial Tax Officer on September 30, 1973. In the assessment on the turnover of Rs. 2,55,295. 95 which related to stainless steel motor wheel discs, tax was levied at 5 1/4 per cent. On examining the record, the Deputy Commissioner of Commercial Taxes, in exercise of the power under section 14 (4) of the Act, passed orders in RR/6177, dated October 10, 1977, levying tax at 10 1/4 per cent. The assessee appealed to the Tribunal against the said order of the Deputy Commissioner on the ground that the exercise of power by the Deputy Commissioner was beyond limits. The Tribunal allowed the appeal on January 17, 1984. The correctness of this order is assailed in this tax revision case.

(2.) THE learned Government Pleader submits that the order of assessment was passed well within the period of limitation, therefore, the order under revision is not sustainable.

(3.) FROM a perusal of the above provision it is clear that an order of assessment can be revised within a period of six years from the expiry of the year of assessment to which the tax, licence fee or registration fee relates, if the event that had occasioned such an assessment or levy has occurred on account of the failure of the dealer to disclose the turnover or any of the particulars correctly; but if such event has occurred due to any other causes, the power of revision has to be exercised within four years from the expiry of the year of assessment. If the Deputy Commissioner wants to avail the six years' period of limitation, he can do so only when he records a finding that the dealer failed to disclose the turnover or any of the particulars correctly. If the circumstances do not bring the case within clause (a) of sub-section (4-A), the power has to be exercised only within four years.