Civil court injunction against tax reassessment is unavailable absent clear abuse of statutory power and adequate remedies.

Civil courts will not ordinarily grant a perpetual injunction to restrain reassessment under a taxing statute when the assessee has statutory appeal and revision remedies. The General Sales Tax Act was treated as a self-contained code, and injunction was described as a discretionary remedy available only on clear proof of abuse of power or colourable exercise of authority. As no such material was shown, interference by the civil court was unwarranted and the injunction could not stand.

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Issues: Whether a civil court could grant a perpetual injunction restraining the sales tax department from making fresh assessments for the assessment years 1958-59 to 1960-61.

Analysis: The General Sales Tax Act was treated as a self-contained code providing the assessee with statutory remedies by way of appeal and revision against illegal or incorrect assessments. The grant of injunction was held to be discretionary and not ordinarily available to restrain tax authorities from performing functions under the taxing statute. Interference by a civil court would be justified only where there was clear material showing abuse of power or a colourable exercise of authority, and no such circumstance was made out on the evidence.

Conclusion: The perpetual injunction was unsustainable and was set aside. The issue was decided in favour of the Revenue.

Final Conclusion: Civil courts will not ordinarily restrain reassessment proceedings under a taxing statute where the assessee has statutory remedies and no abuse of power is shown.

Ratio Decidendi: Injunctive relief against tax authorities is impermissible in the absence of clear proof of abuse or colourable exercise of statutory power, particularly where the taxing statute provides its own appellate and revisional remedies.

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