INDERJIT SINGH AND BROTHERS Vs. STATE OF PUNJAB

JUDGEMENT

(1.) THE following two questions of law have been referred for the opinion of this Court under Section 22 of the Punjab General Sales Tax Act, 1948 (hereinafter referred to as the Act), at the instance of the assessee: (1) Whether, in the facts and circumstances of the case, the dealer can be said to have been granted reasonable opportunity of being heard ? (2) Whether the assessment order could be validly framed beyond and in excess of terms proposed in the memorandum/notice dated 19th October, 1970 ?

(2.) BRIEFLY, the facts giving rise to this reference are as follows. The assessee is a registered dealer under the Act. From 1st April, 1969, to 31st March, 1970, it submitted quarterly returns for the four quarters declaring gross sales at Rs. 1,34,586. 87 and claimed deductions of the following amounts : (i) Sales of tax-free goods Rs. 16,887. 32 (ii) Sales made to registered dealers Rs. 63,405. 12 (iii) Deduction under Section 5 (2) (b) Rs. 872. 72

(3.) ON 27th May, 1970, the Assessing Authority issued notice of assessment to the assessee for 10th June, 1970, on which date Shri Ram Singh, father of Shri Inderjit Singh, appeared and sought an adjournment to 18th June, 1970. On the adjourned date Shri Ram Singh again appeared and the case was partially examined in his presence. It was then adjourned to 24th June, 1970. On that date again Shri Ram Singh appeared and his pocket diary was seized by the Assessing Authority and it also recorded his statement. After doing so, it doubted the sales made to M/s. Om Parkash and Sons of Amritsar and required the dealer to prove the genuineness of sales made in its favour. The case was adjourned to 7th July, 1970.