Territorial limits on tax authority powers barred an assessment made outside the notified area.

A territorial notification under the Bihar sales tax framework confined the assessing authority's powers to specified local limits. Because Rule 12 of the Central Sales Tax (Bihar) Rules applied the Bihar Sales Tax Act and rules to procedural matters, the officer's competence depended on that statutory and notified territorial allocation. The notification was construed as limiting not only the class of cases but also the place where the power could be exercised. An assessment made outside those territorial limits was therefore beyond jurisdiction and invalid, and the challenge to the assessment failed.

---

---

Issues: Whether the Assistant Superintendent of Commercial Taxes, Bihar, could validly make the assessment order outside the State of Bihar under the Central Sales Tax Act, the Bihar Rules, the Bihar Sales Tax Act, and the notification specifying the area of his authority.

Analysis: The assessment under the Central Sales Tax Act was to be made by the authorities empowered under the general sales tax law of the appropriate State, and Rule 12 of the Central Sales Tax (Bihar) Rules made the Bihar Sales Tax Act and the rules thereunder applicable to procedural and incidental matters. Section 8 of the Bihar Sales Tax Act empowered the specified authorities to exercise powers within such areas as the State Government notified. The notification in question stated that the designated authorities were to exercise and perform their powers and duties within the local limits specified, which restricted the territorial area of operation of the officer. The wording did not merely identify the class of cases or transactions assessable by him; it confined the place within which his powers could be exercised. An assessment made outside that territorial limit was therefore beyond the authority conferred by the notification.

Conclusion: The assessment made at Calcutta was without jurisdiction and invalid; the assessee's challenge failed and the appeal was dismissed.

Ratio Decidendi: Where a notification confines an assessing authority to exercise and perform powers within specified territorial limits, the authority cannot validly act outside those limits, even if it otherwise has competence over the subject matter.

---