Deemed dealer liability: legal representative can be pursued for tax arrears without a fresh demand notice when default predated death.

Under the Kerala General Sales Tax Act, 1963, a legal representative of a deceased dealer is deemed to be the dealer, with liability limited to the assets of the deceased in the representative's hands. Because valid demand notices had already been served on the deceased dealer and default had occurred before death, the statutory default was treated as continuing against the legal representative. A fresh notice of demand was therefore not required before recovery of the arrears, and the amount collected from the legal representative was not refundable. The contrary foreign authority was considered inapplicable because the Act contains an express deeming provision.

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Issues: Whether the legal representative of a deceased dealer under the Kerala General Sales Tax Act, 1963 could be proceeded against for recovery of tax arrears already demanded from the deceased dealer without a fresh notice of demand, and whether the amount collected from the legal representative was liable to be refunded.

Analysis: Under section 20 of the Kerala General Sales Tax Act, 1963, the legal representative of a deceased dealer is deemed to be the dealer for the purposes of the Act, though liability is restricted to the assets of the deceased in the representative's hands. Section 23(1) provides that default arises only on failure to comply with a notice of demand. Since valid demand notices had already been served on the deceased dealer and he had defaulted before death, the liability and default were treated as continuing against the legal representative by reason of the deeming provision. The distinction drawn in the cited foreign authority was held inapplicable because the present Act specifically deems the legal representative to be the dealer himself.

Conclusion: The legal representative could validly be proceeded against for recovery of the arrears without a separate fresh notice of demand, and the collection made from him was not refundable.

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