Revisional sales tax power allows reliance on additional material and prior enquiry, if notice and hearing are given.

Revisional jurisdiction under section 20(3) of the Bengal Finance (Sales Tax) Act, 1941 was held broad enough to permit the Additional Commissioner to consider material beyond the assessing officer's record when revising gross turnover. The Court also held that a report prepared under section 14(1) could be relied upon in revision under section 20(3) read with rule 80A, even if the underlying enquiry began before the revision petition, because the assessee received notice, the report, and an opportunity to respond. The operative effect was that additional material and statutory enquiry could be used in revision where natural justice was observed.

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Issues: (i) Whether, in revisional jurisdiction under section 20(3) of the Bengal Finance (Sales Tax) Act, 1941, the Additional Commissioner could reassess gross turnover by taking into account material not before the assessing officer. (ii) Whether the Additional Commissioner could rely on a report prepared under section 14(1) of the Act, and initiated before the revision petition was filed, in exercise of section 20(3) read with rule 80A of the Bengal Sales Tax Rules.

Issue (i): Whether, in revisional jurisdiction under section 20(3) of the Bengal Finance (Sales Tax) Act, 1941, the Additional Commissioner could reassess gross turnover by taking into account material not before the assessing officer.

Analysis: The revisional power under section 20(3) was read as wide enough to permit the Commissioner to revise any assessment made or order passed. The Court held that this power was not confined to the bare record before the assessing officer. Section 14 authorised production and inspection of accounts and documents for the purposes of the Act, and section 20 showed that revision was one of those purposes. The assessee was given notice and a fair opportunity to meet the material relied upon, so the use of additional material did not offend natural justice.

Conclusion: The Additional Commissioner was competent to take into account the additional material and reassess the gross turnover. The issue was decided in favour of the Revenue.

Issue (ii): Whether the Additional Commissioner could rely on a report prepared under section 14(1) of the Act, and initiated before the revision petition was filed, in exercise of section 20(3) read with rule 80A of the Bengal Sales Tax Rules.

Analysis: Rule 80A empowered the appellate or revisional authority to make such enquiry as it thought fit before finally disposing of the matter. The Court held that once the report and the underlying enquiry came to the revisional authority's notice, consideration of that material formed part of the enquiry within rule 80A. The fact that the enquiry under section 14(1) began before the revision petition was filed did not matter, because the assessee was informed of the material, supplied with the report, and heard in reply before the revisional order was made.

Conclusion: The Additional Commissioner had authority and jurisdiction to rely on the report notwithstanding that the enquiry preceded the filing of the revision petition. The issue was decided in favour of the Revenue.

Final Conclusion: The revisional authority's power under the Bengal sales tax framework extended to considering additional material and a report obtained through statutory enquiry, provided the assessee had reasonable notice and opportunity to respond.

Ratio Decidendi: A revisional authority may, in an appropriate case, consider additional material and direct or adopt further enquiry beyond the original assessment record, and such material may be relied upon if the assessee is given a fair opportunity of hearing.

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