Statutory appeal prevails over writ review in tax reassessment disputes involving factual questions and adjustment of prior tax payment.

Writ jurisdiction is ordinarily not exercised to test reassessment disputes where an effective statutory appeal is available, particularly when the controversy turns on whether auction sales are inter-State or intra-State and requires factual examination by the tax authorities. The document notes that such assessment questions should be pursued before the appellate forum rather than under Article 226. It also records that, because tax had already been paid under the Central Act on the same transactions, the amount remitted was to be adjusted for the purpose of maintaining the appeal and for consideration of interim relief, preventing duplication of tax payment.

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Issues: Whether the writ petitions challenging the sales tax reassessments should be entertained under Article 226 of the Constitution of India when an efficacious statutory appeal was available, and whether credit should be given for tax already paid under the Central Act while pursuing the appeal.

Analysis: The assessment dispute turned on whether the auction sales were inter-State or intra-State sales, which required examination of the transaction and supporting material by the statutory authorities. The Court noted that the tax statute provided a complete machinery of appeal and other remedies against the assessment orders, and that such disputed questions were more appropriately examined in appeal rather than in writ proceedings. At the same time, since the very same transactions had already suffered tax under the Central Act, the Court balanced equities by directing that the amount already paid be adjusted for the purpose of maintaining the appeal and for consideration of interim relief.

Conclusion: The writ petitions were not entertained on merits and the petitioners were relegated to the appellate remedy, with a direction for adjustment of the tax already paid under the Central Act for the respective assessment years.

Final Conclusion: The challenge to the reassessment orders was left to the statutory appellate forum, while protecting the petitioners from duplication of tax payment by enabling adjustment of amounts already remitted.

Ratio Decidendi: Where a statutory appeal provides an effective remedy for disputing a tax assessment, writ jurisdiction will ordinarily not be invoked to decide the merits of the assessment, especially on issues requiring factual adjudication.

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