Tax waiver linked to declaration forms requires fresh verification before denial of relief under the circular framework.

A waiver of tax liability under the circular dated 15 January 1988 was treated as dependent on compliance with prescribed declaration-form formalities, but the absence of the forms was not treated as conclusive where the goods had already suffered tax and the record showed prior enquiries and confirmation of issuance. The discussion indicates that the waiver mechanism required a fair opportunity to furnish the certificate and supporting information before relief could be denied. The matter was therefore remitted for fresh verification and reconsideration of the waiver benefit in accordance with the circular requirements.

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Issues: Whether the assessee could claim waiver of tax liability and consequential relief despite loss of the prescribed declaration forms, in light of the circular dated 15 January 1988, and whether the matter required reconsideration by the assessing authority.

Analysis: The assessment of entitlement turned on compliance with the circular requirements governing waiver, but the record showed that the goods had already suffered tax at the hands of the selling dealer and that the assessing authority had made enquiries and received confirmation about issuance of the forms. The mandatory nature of prescribed declaration forms remained relevant, yet the circular created a waiver mechanism that had to be applied with due observance of its formal requirements. In these circumstances, the Tribunal's refusal to extend the benefit without further verification was not sustained, and further opportunity to secure the required certificate and information was warranted.

Conclusion: The issue was decided in favour of the assessee to the extent that the Tribunal's order was set aside and the matter was sent back for compliance with the circular and fresh consideration of the waiver benefit.

Final Conclusion: The revision was allowed, and the dispute was remitted for further verification so that the claimed tax relief could be considered afresh in accordance with the circular requirements.

Ratio Decidendi: Where a waiver of tax is conditioned by an administrative circular and the underlying tax on the goods has already been paid, the authority must permit compliance with the prescribed formalities before denying the benefit, even though declaration forms remain mandatory in principle.

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