Proper service before best judgment assessment failed where mandatory notice procedures were bypassed and affixture was used prematurely.

Proper service of the pre-assessment notice was a condition precedent to a best judgment assessment under Rule 52(1) of the Tamil Nadu General Sales Tax Rules, 1959. The rule required service first by personal tender or delivery, then by registered post where the address was known, and affixture only if those modes were not practicable. As the revenue went directly to affixture without exhausting the prescribed modes, the notice was not validly served. The explanation that postage stamps were unavailable did not excuse non-compliance with the mandatory service procedure. The assessment order was therefore invalid for want of proper service and was set aside in favour of the assessee.

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Issues: Whether the assessment order based on best judgment could be sustained when the pre-assessment notice and summons were not served in the manner prescribed under Rule 52(1) of the Tamil Nadu General Sales Tax Rules, 1959.

Analysis: Rule 52(1) prescribed a graded mode of service, beginning with personal tender or delivery, then service by registered post where the address was known, and affixture only when the preceding modes were not practicable. The record showed that the revenue proceeded directly to affixture without exhausting the prescribed modes. The explanation that service postage stamps were not available did not justify bypassing the mandatory procedure. Since proper service of the pre-assessment notice was a condition precedent to a best judgment assessment, the assessment could not stand.

Conclusion: The assessment order was invalid for want of proper service and was set aside in favour of the assessee.

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