Discretion under sales tax registration relief upheld where multi-circle business would hinder effective supervisory control.

Rule 6-A of the Orissa Sales Tax Rules, 1947 operated as an exception to the ordinary requirement of registration in each circle where business was carried on, and it enabled the Commissioner to grant relief by special or general order only when the statutory conditions were met. The provision was not confined to dealers seeking first-time registration, but the power remained discretionary. The Commissioner could lawfully refuse relief where single-circle registration for business spread across multiple districts would impair effective supervisory control, and reasons such as the volume of business and difficulty of administrative check were relevant. The refusal to grant relief under rule 6-A was upheld.

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Issues: Whether the Commissioner was justified in refusing relief under rule 6-A of the Orissa Sales Tax Rules, 1947 to a dealer already registered in one circle but carrying on business in other circles.

Analysis: Rule 6-A created an exception to the ordinary requirement of registration in each circle where business was carried on, and it empowered the Commissioner to issue a special or general order where the statutory conditions were satisfied. The provision did not confine its operation only to dealers seeking their first registration. The power under the rule was discretionary, and the Commissioner was entitled to consider whether allowing single-circle registration for business spread over several districts would hinder effective supervisory control. The reasons recorded, including the substantial volume of business and the difficulty of administrative check, were germane to the exercise of that discretion.

Conclusion: The refusal to grant relief under rule 6-A was upheld and the writ petition failed.

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