Enhanced assessment power under amended Central Sales Tax law depends on the State law in force for the relevant year.

Under amended section 9(2) of the Central Sales Tax Act, 1956, the powers of the assessing authorities for Central sales tax are drawn from the State general sales tax law in force during the relevant assessment year. Because the Madras General Sales Tax Act, 1959 then conferred power to enhance an assessment, the Appellate Assistant Commissioner could lawfully exercise that power in dealing with the Central sales tax assessment. The enhancement was therefore within jurisdiction, notwithstanding that an earlier State Act existed when the Central Act was enacted.

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Issues: Whether the Appellate Assistant Commissioner had power, under the amended law, to enhance the sales tax assessment made on the assessee.

Analysis: Section 9(2) of the Central Sales Tax Act, 1956, as substituted by section 6 of the Central Sales Tax (Amendment) Act, 1969, provides that the authorities empowered to assess, reassess, collect and enforce tax under the general sales tax law of the appropriate State may exercise all or any of the powers available to them under that State law while assessing tax under the Central Act. The amended provision makes the State law in force during the relevant assessment year the source of the assessing authority's powers. Since the Madras General Sales Tax Act, 1959, conferred power to enhance assessment, that power was available when the appellate authority decided the matter, notwithstanding that the 1939 Act was the State law when the Central Act was enacted.

Conclusion: The Appellate Assistant Commissioner had power to enhance the assessment, and the enhancement was within jurisdiction.

Ratio Decidendi: Under the amended section 9(2) of the Central Sales Tax Act, 1956, the powers of State authorities assessing Central sales tax extend to the powers conferred by the State general sales tax law in force during the relevant assessment year.

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