Remission of molasses loss cannot be denied merely because the wastage occurred within part of a year under the rule.

Rule 8(4) of the U.P. Sheera Niyantran Niyamawali, 1974 is discussed as applying to molasses loss by natural evaporation or wastage even where the loss occurs within part of a year, provided it remains below the 2% permissible limit. The text states that, absent any statutory requirement that "year" must mean a full 12-month period, remission could not be denied merely because the loss arose during a shorter interval. It also notes that there was no allegation of abrupt removal from storage, and that the Revenue bore the burden of proving any contrary factual basis.

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Issues: Whether remission of molasses loss under Rule 8(4) of the U.P. Sheera Niyantran Niyamawali, 1974 could be denied merely because the loss occurred during a shorter period within the year and was not spread over the entire 12 months.

Analysis: The appeal was confined to the question whether wastage of molasses by natural loss or evaporation, being below the 2% permissible limit, could be disallowed on the ground that it occurred in a brief period. There was no allegation of abrupt removal of molasses from the storage tank. In the absence of any statutory stipulation that the expression "year" in Rule 8(4) must mean only a full period of 12 months, the provision was held to cover a part of a year as well. The burden to prove any contrary factual assertion lay on the Revenue, and such burden could not be shifted by presumption.

Conclusion: Remission could not be denied merely because the loss occurred within part of a year, and the question was answered in favour of the assessee and against the Revenue.

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