NEPA LIMITED Vs. COMMISSIONER OF COMMERCIAL TAX

JUDGEMENT

(1.) THE petitioners have challenged the tenability of the order dated November 13, 1998 passed under section 39(2) of the M.P. General Sales Tax Act, 1958 ("the Act") by the Additional Commissioner of Commercial Tax, Indore, by which the proceedings initiated under section 19A of the M.P. General Sales Tax Act which had been closed by order dated September 30, 1996 have been revised and tax at 12 per cent on the sale of coal ash has been imposed.

(2.) THE facts in brief are that the petitioner, a Central Government undertaking, was assessed to tax vide order dated February 10, 1993. In this order no tax on the sale of coal ash was levied. The appeal filed by the petitioner against this order was also dismissed vide order dated July 13, 1993. On July 14, 1994, proceedings for reassessment were initiated under section 19A of the Act, in view of the order of the Board of Revenue passed in the case reported in Burn Standard Co. Ltd., Jabalpur v. Commissioner of Sales Tax [1994] 18 CTJ 8, wherein it was held that the sale of coal ash was liable to tax. These proceedings were ultimately closed vide order dated September 30, 1996 in view of the directions issued by the Commissioner under section 42B of the M.P. General Sales Tax Act dated February 6, 1991. On May 23, 1998, order dated September 30, 1996 passed in the reassessment proceedings was sought to be revised in exercise of powers under section 39(2) of the Act and in pursuance thereof notices were issued to the petitioner on May 23, 1998 which culminated in passing of the impugned order dated November 13, 1998 imposing liability upon the petitioner to pay tax at 12 per cent on the sale of coal ash.

(3.) I have heard the learned counsel for the parties at length. From a perusal of the documents on record, the following undisputed and admitted facts emerge :