Consolidated registration under sales tax rules is discretionary where separate accounts are absent and tax dues remain unpaid

Consolidated registration, or permission to file consolidated returns, under the Bihar Sales Tax Rules, 1983 is an administrative indulgence, not an absolute right. Where a dealer fails to maintain separate accounts for different branches, has admitted and outstanding sales tax dues, and the authority forms a prima facie view of malpractices and non-deposit of collected tax, refusal of the facility is within the department's discretion. On that material, the Court found no error in the Tribunal's acceptance of the departmental view and upheld the refusal.

---

---

Issues: Whether the petitioners were entitled to a consolidated registration or, at least, permission to furnish consolidated returns under the Bihar Sales Tax Rules, 1983, and whether the refusal of such indulgence by the tax authorities was justified.

Analysis: Registration under the sales tax regime is ordinarily granted on compliance with the prescribed requirements, but permission to register or to file returns centrally for multiple places of business is only an indulgence and not an absolute right. The record showed that the petitioners had not maintained proper separate accounts for different branches, had substantial admitted and outstanding sales tax dues, and the authorities had formed a prima facie view that there had been malpractices and non-deposit of collected tax. In such circumstances, the decision whether to extend the facility of consolidated registration or consolidated returns lay within the permissible discretion of the department, and the Court found no error in the Tribunal's acceptance of that view.

Conclusion: The refusal to grant consolidated registration or the corresponding facility was upheld, and the challenge failed.

Ratio Decidendi: A dealer seeking centralized treatment for multiple places of business under the sales tax rules has no vested right to consolidated registration or consolidated returns where the authority, on relevant material, reasonably concludes that the facility would prejudice tax collection and that the dealer has not maintained proper accounts or discharged admitted tax liabilities.

---