Demand notices withdrawn and tax liability remitted for fresh hearing; validity challenge to the sales tax proviso left undecided.

Impugned demand notices were directed to be withdrawn and the matter remitted for fresh determination of the petitioner's tax liability after giving an opportunity of hearing. The authority must re-examine the liability, if any, in accordance with law, while the challenge to the validity of the proviso to section 5(2)(A)(a)(ii) of the Orissa Sales Tax Act was not adjudicated.

---

---

Issues: Whether the impugned demand notices were liable to be withdrawn and the petitioner's tax liability re-examined after hearing, without adjudicating the challenge to the validity of the proviso to section 5(2)(A)(a)(ii) of the Orissa Sales Tax Act.

Analysis: The parties agreed that the writ petition should be disposed of on the same terms as similar writ petitions decided earlier. Following that course, the Court directed that the impugned demand notices be withdrawn and that the concerned authority re-examine the matter and determine the petitioner's liability, if any, after giving an opportunity of hearing. The validity of the impugned proviso was not decided.

Conclusion: The demand notices stood withdrawn and the matter was sent back for fresh determination of liability after hearing the petitioner.

---