Reference jurisdiction requires clear factual findings before classifying assessment under the sales tax notice compliance framework.

In reference proceedings, the High Court cannot answer a question where the legal classification of an assessment depends on an unresolved foundational fact. The distinction between assessment under section 11(3) and section 11(4) of the Punjab General Sales Tax Act, 1948 turns on whether the dealer failed to comply with the notice under section 11(2) and whether the required accounts and documents were produced. Because the statement of case contained no clear finding on that factual issue, the Court held the record was insufficient and returned the reference to the Tribunal for the necessary factual finding.

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Issues: Whether the High Court could answer the referred question on the existing statement of case, or whether the matter had to be sent back for a finding on whether the assessee complied with the notice issued under section 11(2) of the Punjab General Sales Tax Act, 1948.

Analysis: The distinction between assessments under section 11(3) and section 11(4) depends on whether the dealer failed to comply with the notice under section 11(2). The record before the Court contained no clear finding by the Tribunal or the revisional authority on that factual aspect, nor did it disclose the precise accounts and documents required or whether the assessee produced them. Since the High Court in reference proceedings acts in an advisory capacity and answers questions on the facts stated by the Tribunal, it could not determine the missing factual issue itself. The statement of case was therefore insufficient to decide whether the assessment was made under section 11(3) or section 11(4).

Conclusion: The question could not be answered on the existing record, and the matter had to be remanded to the Tribunal for a finding on compliance with section 11(2) and the accounts and documents required to be produced.

Final Conclusion: The reference was returned to the Tribunal for the necessary factual finding, and no final determination was made on the merits of the assessment classification.

Ratio Decidendi: In reference jurisdiction, where the legal answer depends on an unresolved foundational fact, the High Court must obtain a clear finding on that fact and cannot supply it itself.

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