KAPUR WEAVING FACTORY Vs. STATE OF PUNJAB

JUDGEMENT

(1.) THE Sales Tax Tribunal, Punjab, has referred the following question of law to us for our. opinion under Section 22 (1) of the Punjab General Sales Tax Act, 1948 (hereinafter called the Act): Whether, on the facts and circumstances of the case, the ex parte assessment framed by the Assessing Authority on best of judgment basis was legally valid ? If so, was the Assessing Authority legally bound to disclose the material collected by the department to the assessee before framing this assessment ?

(2.) M/s. Kapur Weaving Factory, outside Chattiwind Gate, Amritsar, is a registered assessee under the Act. For the assessment year 1964-65, a notice under Section 11 (2) of the Act in form S. T. XIV was issued against the assessee calling upon it to appear before the Excise and Taxation Officer, Amritsar, on 21st August, 1965. This notice could not be served upon the assessee. On 22nd November, 1965, another notice was issued against the assessee for appearance before the Excise and Taxation Officer on 13th December, 1965. On that date Shri R. N. Kapur, Advocate, put in appearance on behalf of the assessee and succeeded in getting the case adjourned to 24th January, 1966, for placing on record his power of attorney. The learned Advocate raised a controversy that the assessee had not been properly served whereupon the Assessing Authority served by substitution the statutory notice in form S. T. XIV on some of the partners of the assessee-firm and adjourned the case to 29th July, 1969.

(3.) A day earlier, the learned counsel for the assessee tried to inspect the record and this fact is apparent from the following observations made by the Assessing Authority: A day earlier, on 28th July, 1969, Shri P. N. Sharma, I. T. P. , put in his power of attorney for each of the years 1963-64 onwards for which the assessment had been fixed up for 29th July, 1969. He also put in an application for inspection of the 'file for the years 1963-64 and 1964-65 comprising of all parts other than those treated as confidential'. Inspection was allowed. After be had inspected the records, the counsel left the following note on the application itself: (i) Only order sheet and copy of S. T. XIV for 29th July, 1969, made available for examination for the year 1963-64. (ii) Only order sheet for 1964-65 and a copy of S. T. XIV made available for inspection.