Reassessment under sales tax law needs fresh material; mere change of opinion or audit advice cannot justify reopening.

Section 14(4) of the Andhra Pradesh General Sales Tax Act permits reassessment only where turnover has escaped assessment, been under-assessed, assessed at a lower rate, or where exemption or deduction was wrongly allowed. Reopening cannot rest on a mere change of opinion about classification or on reconsideration of material already on the assessment record, because the reassessment power operates only on material outside that record showing escapement or incorrect assessment. An internal audit party's opinion on a point of law is not sufficient material for reopening. By contrast, a binding decision of a higher judicial or statutory authority on the relevant issue may constitute valid material for reassessment.

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Issues: Whether reassessment under section 14(4) of the Andhra Pradesh General Sales Tax Act, 1957 could be initiated on a mere change of opinion about the classification of goods, and whether instructions or opinion of the audit party could constitute the material required for reopening.

Analysis: Section 14(4) permits reopening where turnover has escaped assessment, been under-assessed, assessed at a lower rate, or where exemption or deduction has been wrongly allowed. The power is distinct from revision under section 20, and the two remedies operate in different spheres. Mere reconsideration of the same material already on the assessment record does not justify reopening, because reassessment must rest on material de hors the assessment record showing escapement or incorrect assessment. An internal audit opinion on a point of law is not such material. At the same time, a decision of a higher judicial or statutory authority on the relevant legal issue may constitute material sufficient to reopen, since it is binding on lower authorities.

Conclusion: Reassessment could not be sustained on the basis of mere change of opinion or audit-party instructions, and the reopening was without jurisdiction.

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