STATE OF RAJASTHAN Vs. JODHPUR COFFEE HOUSE JODHPUR

JUDGEMENT

(1.) THIS revision is directed at the instance of the Assistant Commercial Taxes Officer, Writs, Jodhpur, on behalf of the State, against the order of the Deputy Commissioner, Sales Tax (Appeals), Jodhpur, dated 13. 4. 1964 on three grounds which will be taken up hereafter. The facts of the case in brief are that the dealer who runs a hotel and a restaurant deposited a fee of Rs. 250/-, which was apparently to cover his previous year's turnover of Rs. 69,578. 89. The turnover disclosed for the assessment year 1. 4. 1962 to 31. 3. 1963 was Rs. 79,584,20, and the fee on this should have been Rs. 450/ -. It was urged on behalf of the dealer assessee that the exemption certificate once issued was final and cannot be questioned. The assessing authority however, held that the present exemption will be available to the assessee only for the turnover of Rs. 70,000/ -. He assessed a fee of Rs. 100 for the short-fall of Rs. 10,000/-discovered on the basis of actual turnover in the year of assessment. On appeal, the Deputy Commissioner held that the fee recovered on the basis of turnover of previous year after necessary enquiry by the assessing authority was final as otherwise there would have been no necessity for provision of R. 11, whereunder the fee is to be considered as provisional fee. He thus set aside the order of the assessing authority asking for depositing an additional amount of Rs. 100/- ; and hence this revision.

(2.) I have heard the counsel for the State. The counsel for the non-applicant was absent despite notice, and ex-parte proceedings were taken against him. The question for consideration, as stated above, is whether if once the exemption certificate has been issued on a particular turnover, which may even be assumed or based on previous year's turnover, additional fee can be asked for, if the actual turnover during the assessment year exceeds the turnover which formed the basis of the fee charged for the issue of the exemption certificate. Under sec. 4 (2) of the Rajasthan Sales Tax Act, the State Government is competent to exempt any goods or class of goods or any person or class of person on such conditions and on payment of such fees as may be specified in the notification, if it is of the opinion that it is necessary and expedient in the public interest to do so. A notification under sec. 4 (2) was first issued on 14. 4. 1955, but it was substituted by notification No. D. 6788/f. 5 (72) ST/59, dated November 24, 1959, where-under the State Government exempted the keepers of hotels and restaurants from the Sales Tax on the condition that the person claiming exemption holds a valid certificate of exemption, on payment of following fees given in the notification on the basis of turnover - Turnover Fee If the turnover exceeds of Rs. 12,000/- but does not exceed Rs. 20,0,0/ -. . . . . . . . . . Rs. 50/- If the turnover exceeds Rs. 20,000/- but does not exceed Rs. 40,000/ -. . . . . . . . . . Rs. 100/- If the turnover exceeds Rs. 40,000/- but does not exceed Rs. 50,000/ -. . . . . . . . . . Rs. 150/- If the turnover exceeds Rs. 50,000/- for every Rs. 5,000/ -. . . Rs. 50/-