Natural justice in sales tax assessment requires a reasonable opportunity before best judgment assessment, despite an alternative remedy.

Rule 12 of the Andhra Pradesh General Sales Tax Rules, 1957 required the assessing authority, before making a best judgment assessment on an apparently incorrect or incomplete return, to give the dealer a reasonable opportunity to prove its correctness and completeness. Where that mandatory opportunity was not afforded, the provisional assessment was vitiated for breach of natural justice and non-compliance with the prescribed procedure. The availability of an alternative appellate remedy did not bar writ relief under Article 226 because the defect went to the legality of the assessment process itself. The provisional assessment order was therefore quashed in favour of the assessee.

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Issues: Whether the provisional assessment order was vitiated for breach of natural justice and non-compliance with Rule 12 of the Andhra Pradesh General Sales Tax Rules, 1957, and whether the availability of an alternative remedy barred relief under Article 226 of the Constitution of India.

Analysis: Rule 12 required the assessing authority, where a return appeared incorrect or incomplete, to give the dealer a reasonable opportunity to prove its correctness and completeness before making a best judgment assessment. The record disclosed that no such reasonable opportunity was afforded before the provisional assessment was made. In such a situation, the existence of an appellate remedy did not preclude exercise of writ jurisdiction, because violation of natural justice and breach of the mandatory procedure under Rule 12 justified interference.

Conclusion: The provisional assessment order was unsustainable and was quashed in favour of the assessee.

Ratio Decidendi: Where a return appears incorrect or incomplete, the assessing authority must first afford a reasonable opportunity to the dealer to establish its correctness and completeness before making a best judgment assessment, and breach of this mandatory requirement justifies writ interference notwithstanding an alternative remedy.

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