ASBESTOS CEMENT LIMITED Vs. COMMISSIONER OF SALES TAX

JUDGEMENT

(1.) IN this petition under articles 226 and 227 of the Constitution of India, the petitioner, a limited company incorporated under the Indian Companies Act, 1913, seeks to have the notice dated 23rd August, 1969 (petitioner's annexure B), issued by the Additional Commissioner of Sales Tax and the order dated 18th April, 1972 (petitioner's annexure C), passed by the Commissioner of Sales Tax quashed on the ground that the Commissioner had no power of revision under Ssection 39 (2) of the Madhya Pradesh General Sales Tax Act, 1958, so as to revise an appellate order of the Deputy Commissioner of Sales Tax for the reason that the appellate order was prejudicial to the interests of the revenue. At this stage we are not concerned with the merits of the case regarding the point whether the sales effected by the petitioner were inter-State sales or intra-State sales.

(2.) THE petitioner had submitted quarterly returns of sales for the years 1960-61 and 1961-62, For the year 1960-61, the petitioner claimed exemption to the extent of Rs. 30,39,717. 35 on the ground that the sales were inter-State sales not liable to be taxed under the State Act. In respect of the year 1961-62, exemption was claimed on the same ground to the extent of Rs. 47,37,327. 98. The consignments were booked f. o. r. ex works, Kymore.

(3.) THE Additional Commissioner of Sales Tax, Jabalpur, rejected the petitioner's contentions, while the Deputy Commissioner of Sales Tax by order dated 25th August, 1966 (petitioner's annexure A), allowed the petitioner's appeal and exempted the sales from taxation under the State Act. Consequently, the notice dated 23rd August, 1969 (petitioner's annexure B), was issued to the petitioner by the Additional Commissioner of Sales Tax under Section 39 (2) of the M. P, General Sales Tax Act, 1958, intending to revise the order of the Deputy Commissioner of Sales Tax on the ground that it was prejudicial to the interests of the revenue. That notice was served on the petitioner on 6th September, 1969, Subsequently, by order dated 18th April, 1972 (petitioner's annexure C), the Commissioner of Sales Tax rejected the petitioner's objection to the proposed revision and fixed the case for final hearing on 13th June, 1972. It is against the said orders that the petitioner has filed the present writ petition, wherein the question of scope of Section 39 (2) of the Act has been raised.