Double tax relief cannot justify setting aside a valid assessment before statutory reimbursement conditions are met.

A valid purchase turnover assessment cannot be set aside in appeal merely to facilitate a possible future claim under double tax relief provisions. Raw and dressed hides and skins were treated as declared goods, but relief under section 15(b) of the Central Sales Tax Act and the corresponding State provision operates only after the State levy and the Central sales tax liability have both arisen and the Central tax has actually been paid. As no Central sales tax assessment or payment had yet occurred, the Tribunal had no basis to annul the lawful State assessment for that collateral purpose. The State assessment was therefore restored, while any reimbursement claim was left to be pursued when the statutory conditions are satisfied.

---

---

Issues: Whether the Tribunal was justified in setting aside a valid purchase turnover assessment merely to enable possible future relief under the double tax relief provisions.

Analysis: Raw and dressed hides and skins were treated as declared goods, and the statutory relief under section 15(b) of the Central Sales Tax Act and the corresponding State provision operated by way of reimbursement after both the State levy and the Central sales tax liability had arisen and the latter had been paid. At the relevant stage, no assessment under the Central Sales Tax Act had yet been made and no Central sales tax had been paid. The Tribunal, instead of sustaining the valid State assessment, set it aside and directed a combined disposal of the State and Central assessments. That course was held to be unsustainable because appellate power cannot be used to annul a lawful assessment for an extraneous purpose unconnected with the validity of that assessment.

Conclusion: The Tribunal was not justified in setting aside the assessment for that collateral purpose, and the State assessment was restored.

Final Conclusion: The revision succeeded, the Tribunal's order was set aside, and the valid purchase turnover assessment was reinstated, leaving any claim for statutory reimbursement to be worked out when the conditions for such relief actually arise.

Ratio Decidendi: A valid tax assessment cannot be set aside in appeal for an extraneous collateral purpose, and relief in the nature of reimbursement under the double tax relief provisions arises only when the statutory preconditions are actually satisfied.

---