Writ of prohibition unavailable against reassessment when the statute requires only notice and a reasonable opportunity to show cause.

Section 16 of the Madras General Sales Tax Act required only that the assessing authority form a reason to believe that turnover had escaped assessment, issue a proposal, and give a reasonable opportunity to show cause. It did not impose a duty to confer with the assessee before issuing the pre-assessment notice, disclose all material relied on, or forecast the proposed penalty in advance. On that basis, a writ of prohibition was held not maintainable to restrain the reassessment, and the authority could proceed with the section 16 process.

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Issues: Whether a writ of prohibition could be issued to restrain the assessing authority from proceeding with reassessment under section 16 on the ground that, before issuing the pre-assessment notice, the authority was bound to disclose the material relied on and afford a prior enquiry.

Analysis: Section 16 of the Madras General Sales Tax Act contemplated action where the assessing authority had reason to believe that turnover had escaped assessment, followed by communication of the proposal and a reasonable opportunity to show cause. The provision did not cast a public duty to confer with the assessee before issuing the notice, disclose the exact basis of the proposed reassessment, or discuss the possible penalty in advance. A pre-assessment notice was only a preliminary step, and the authority had acted on material said to be incriminating and on the assessee's failure to appear when called for enquiry.

Conclusion: The writ of prohibition was not maintainable and the assessing authority was entitled to proceed under section 16. The petition was dismissed.

Ratio Decidendi: A writ of prohibition will not issue to stop reassessment proceedings where the statute only requires a proposal and reasonable opportunity to show cause, and does not oblige prior disclosure of all material or advance consultation before the pre-assessment notice.

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