PRODUCE COMMERCIAL SYNDICATE Vs. STATE OF A P

JUDGEMENT

(1.) THESE two revision cases, one against the assessment proceedings and the other against the penalty proceedings, arise out of two separate orders of the Sales Tax Appellate Tribunal, in T. A. Nos. 378/76 and 379/76.

(2.) MR . Dasaratharama Reddi, the learned counsel appearing for the petitioner, a firm called M/s. Produce Commercial Syndicate, Vizianagaram, contended that the enhancement of turnover made by the Assistant Commissioner of Commercial Taxes in exercise of his powers under section 19 (3) (a) of the A. P. G. S. T. Act is illegal as it was made beyond the period of limitation prescribed in section 14 (4-A) of the same Act. The facts necessary for determination of the question are these : The petitioner submitted its return for the assessment year 1969-70 on 7th July, 1970, showing a turnover of Rs. 30,500. The Deputy Commercial Tax Officer by his order dated 31st March, 1971, assessed the petitioner on a turnover of Rs. 1,44,173. 50. That assessment order was carried in appeal by the petitioner to the Assistant Commissioner of Commercial Taxes. The Assistant Commissioner found that the addition made by the assessing officer was not in accordance with the turnover shown in the book and having regard to the turnover shown in the book which was not produced earlier before the assessing authority, he enhanced the turnover from Rs. 1,44,173. 50 to Rs. 1,87,724. 20 by adding Rs. 43,550. 70. That led the petitioner to prefer an appeal before the Sales Tax Appellate Tribunal, Hyderabad. The Sales Tax Appellate Tribunal dismissed the appeal on the ground that no period of limitation is prescribed for disposal of an appeal and, therefore, the Assistant Commissioner was perfectly within the bounds of law when he enhanced the turnover.

(3.) IN view of the fact that we have set aside the addition made by the Assistant Commissioner of Commercial Taxes, which was confirmed by the Tribunal, we set aside the impugned order levying penalty on the petitioner and direct the Tribunal to reduce the same proportionately. In the result, T. R. C. No. 61 of 1977 is allowed and T. R. C. No 62 of 1977 is remitted back for disposal to the Sales Tax Appellate Tribunal. No costs. Advocate's fee Rs. 200 in each. Ordered accordingly.