Writ relief and tax refund claims fail where assessment was made within jurisdiction on a possible statutory construction and delay is inordinate.

A writ court will not ordinarily quash a sales tax assessment or order refund merely because a later Supreme Court ruling adopts a different interpretation, where the assessing authority acted within jurisdiction on a possible construction of the statute. The document distinguishes void or unconstitutional levies from assessments made under an arguable statutory interpretation, and states that certiorari lies only for jurisdictional error or an error apparent on the face of the record. It also notes that article 226 relief is discretionary and may be refused where the petition is filed after unreasonable delay, especially after assessments have attained finality and no exceptional cause is shown.

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Issues: (i) whether the levy and collection of tax on declared goods and non-declared goods under the amended sales tax regime disclosed a mistake of law or an illegality warranting refund or quashing of the assessment orders; (ii) whether the writ petitions were liable to be entertained despite the long delay after the relevant Supreme Court decisions.

Issue (i): whether the levy and collection of tax on declared goods and non-declared goods under the amended sales tax regime disclosed a mistake of law or an illegality warranting refund or quashing of the assessment orders.

Analysis: In respect of declared goods, the amended statutory scheme, especially the provisions corresponding to sections 15 and 6 of the sales tax enactments, showed that the levy under the State law was not rendered void merely because of the later Supreme Court interpretation under the Central Sales Tax Act, 1956. The court distinguished cases where the tax itself was collected under a void or unconstitutional levy from cases where the assessing authority had acted within jurisdiction on a possible interpretation of the law. It further held that a writ of certiorari lies only where there is jurisdictional error or an error of law apparent on the face of the record, and not where the authority adopted one of two possible constructions of the statute. As to non-declared goods, the court held that the later Supreme Court decision did not automatically establish that the prior assessments were made under a mistake of law; the question depended on the statutory scheme and the factual controversy before the sales tax authorities.

Conclusion: The levy was not shown to be void or illegal in a manner attracting refund or certiorari, and the challenge failed on this issue.

Issue (ii): whether the writ petitions were liable to be entertained despite the long delay after the relevant Supreme Court decisions.

Analysis: The court applied the settled principle that jurisdiction under article 226 of the Constitution of India is discretionary and that, while no rigid limitation period governs writs, delay beyond the ordinary three-year period recognised for money claims and, in certiorari matters, beyond a reasonable time, normally disentitles a petitioner to relief. It noted that the assessments had attained finality, that the petitions were filed long after the relevant Supreme Court ruling, and that no exceptional circumstances justified condonation of the delay. The court also treated the six-month standard for certiorari applications as a reasonable guide and found the delay here to be inordinate.

Conclusion: The petitions were barred by unreasonable delay and were not fit to be entertained.

Final Conclusion: The court declined to interfere with the assessment orders and refused refund, holding that neither illegality in the levy nor sufficient cause for the delay was established.

Ratio Decidendi: A writ court will not grant refund or quash a tax assessment merely because a later decision adopts a different interpretation of the law where the assessing authority acted within jurisdiction on a possible construction, and extraordinary writ relief will ordinarily be refused when sought after unreasonable delay.

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