Self-assessment under Kerala sales tax rules permits final scrutiny of annual returns even without a separate provisional assessment order.

Under the Kerala General Sales Tax Rules, the assessment scheme distinguished between advance assessment under rule 18 and monthly return-based self-assessment under rule 21. Where the assessee followed rule 21, the annual return had to be scrutinised after year-end, and the assessing authority could call for accounts and relevant materials to complete the final assessment under the proviso to rule 21(13). The absence of a separate final order on provisional assessments under sub-rules (8) to (10) did not bar this course, so the objection that the Revenue lacked power to proceed under the proviso had no legal basis.

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Issues: Whether, under the scheme of the Kerala General Sales Tax Rules, the Revenue could proceed to complete the final assessment under the proviso to rule 21(13) when no separate final order had been passed on the provisional assessments under rule 21(8), (9) or (10).

Analysis: The assessment scheme provided two alternative methods: an advance assessment for the whole year under rule 18, and a monthly return-based self-assessment under rule 21. Where the assessee adopted the rule 21 method, the returns were to be filed month by month and, after the year ended, an annual return was required to be scrutinised before final orders were passed under the proviso to rule 21(13). The authority was therefore entitled to require production of accounts and other relevant materials for completing that final assessment. The absence of a separate final order on provisional assessments under sub-rules (8) to (10) did not prevent action under the proviso to rule 21(13).

Conclusion: The objection had no legal foundation and was rejected.

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