C form declarations may be accepted at the appellate stage when statute allows late filing for sufficient cause.

An appellate authority in sales tax proceedings may entertain C form declarations produced after assessment and allow further time on sufficient cause, because an appeal operates as a continuation of the assessment and the appellate forum may exercise the powers needed to adjust the assessment. Section 8(4) of the Central Sales Tax Act, 1956 was treated as controlling the field on late furnishing of declarations, and the proviso to rule 12(7) of the Central Sales Tax (Registration and Turnover) Rules, 1957 was held ultra vires to the extent it imposed more restrictive conditions inconsistent with the statute. Relief based on the belated C forms was upheld.

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Issues: (i) whether an appellate authority under the sales tax law can entertain C form declarations filed after the assessment stage and allow further time on sufficient cause; (ii) whether the proviso to rule 12(7) of the Central Sales Tax (Registration and Turnover) Rules, 1957 is inconsistent with, and to that extent ultra vires, section 8(4) of the Central Sales Tax Act, 1956.

Issue (i): whether an appellate authority under the sales tax law can entertain C form declarations filed after the assessment stage and allow further time on sufficient cause.

Analysis: The time for furnishing C forms is prescribed by section 8(4) of the Central Sales Tax Act, 1956 and rule 12(7) of the Central Sales Tax (Registration and Turnover) Rules, 1957. The statutory scheme was held to require filing before the prescribed authority, but the appellate authority was treated as having the same functional jurisdiction over the assessment as the assessing authority. An appeal in tax matters was characterised as a continuation or extension of the assessment proceedings, and the appellate authority was held capable of exercising the powers necessary to adjust the assessment, including allowing further time on sufficient cause and acting on C forms produced at the appellate stage.

Conclusion: The appellate authority can entertain C form declarations at the appellate stage and may allow further time on sufficient cause.

Issue (ii): whether the proviso to rule 12(7) of the Central Sales Tax (Registration and Turnover) Rules, 1957 is inconsistent with, and to that extent ultra vires, section 8(4) of the Central Sales Tax Act, 1956.

Analysis: Section 8(4) itself contains the substantive power to permit late furnishing of declarations for sufficient cause, whereas rule 12(7) imposed a more restrictive formulation and narrower conditions. Since a rule cannot override the statute, the rule was held invalid to the extent it added inconsistent conditions or sought to confine the statutory power differently from section 8(4). The statutory provision was therefore treated as controlling the field.

Conclusion: The proviso to rule 12(7) is ultra vires to the extent that it is inconsistent with section 8(4) of the Central Sales Tax Act, 1956.

Final Conclusion: The Tribunal's acceptance of the belated C forms and the grant of relief based on them were upheld, and the State's revisions failed.

Ratio Decidendi: In tax appeals, the appellate authority has coextensive powers with the assessing authority to grant further time and receive declarations where the statute permits late filing for sufficient cause, and any subordinate rule inconsistent with that statutory power is invalid to the extent of the inconsistency.

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