Concessional sales tax cannot be denied for lack of C/D forms where binding precedent says they are not required.

A binding precedent controlled the assessment: where the relevant notification did not require production of C/D declaration forms, concessional tax could not be denied on that ground. The impugned assessment, being inconsistent with that view, was unsustainable and had to be reconsidered. The proper course was to reopen the assessment and redo it for the relevant year in line with the earlier decision, so the denial of the concessional rate could not stand.

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Issues: Whether the petitioner was entitled to concessional rate of tax under Section 8(5) of the Central Sales Tax Act, 1956 and whether the assessment order under Section 88(4) of the Tamil Nadu Value Added Tax Act, 2006 was liable to be interfered with and remitted for reconsideration.

Analysis: The issue was governed by an earlier decision holding that where the relevant notification did not impose a condition for production of C/D declaration forms, concessional rate of tax could not be denied on that basis. The impugned assessment proceeded on a footing inconsistent with that binding view and therefore could not be sustained. The proper course was to direct reconsideration in light of the earlier decision and to redo the assessment for the relevant year.

Conclusion: The petitioner was entitled to have the assessment reopened and reconsidered in accordance with the earlier decision, and the denial of concessional rate of tax could not stand.

Ratio Decidendi: Where a binding precedent has held that production of C/D declaration forms is not a precondition for concessional tax under the relevant notification, an assessment denying that concession on such a ground is unsustainable and must be reconsidered in line with that precedent.

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