Pre-deposit under Delhi Sales Tax law treated as mandatory, so non-compliant appeal could not be entertained.

Section 43(5) of the Delhi Sales Tax Act made entertainment of an assessment appeal dependent on satisfactory proof of payment of the disputed tax, subject only to the appellate authority's limited discretion to permit lesser payment for recorded reasons. As the petitioner neither challenged the deposit direction nor sought extension of time and remained non-compliant, the pre-deposit order attained finality. The statutory condition was therefore mandatory on these facts, and the appeal could not be entertained without compliance; dismissal in limine was upheld.

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Issues: Whether non-compliance with the pre-deposit condition under section 43(5) of the Delhi Sales Tax Act, 1975 rendered the appeal incompetent and justified dismissal of the appeal in limine.

Analysis: Section 43(5) makes entertainment of an appeal against assessment dependent on satisfactory proof of payment of the disputed tax, subject to the appellate authority's limited discretion under the first proviso to permit lesser payment for recorded reasons. The petitioner did not challenge the order requiring deposit of Rs. 2.5 lakhs, did not seek extension of time, and did not comply with the condition. The order requiring pre-deposit therefore attained finality. In these circumstances, the statutory requirement operated as mandatory and the appeal could not be entertained without compliance.

Conclusion: The dismissal of the appeal in limine was in law and the challenge failed, in favour of the Revenue.

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