Certified LPG consumption data and turnover discount claims cannot be displaced by mere suspicion or unsupported tax objection.

Certified LPG consumption data issued by Government-owned Oil Marketing Companies was accepted for applying the lower domestic-use tax rate because the authority had no prima facie material to doubt the certificates, and the assessee was not required to independently prove their correctness. The discount deducted on turnover sales to the Oil Marketing Companies was also accepted, as the point was treated as covered by an earlier High Court decision in favour of the assessee. The article notes that the substantive challenge on the first and third issues did not succeed, while the second issue was to be pursued before the Tribunal by rectification in accordance with law.

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Issues: (i) Whether LPG supplied to Oil Marketing Companies was liable to tax at the lower rate applicable to domestic use on the basis of certificates issued by the purchasing companies. (ii) Whether deduction of discount granted to Oil Marketing Companies on turnover sales was allowable.

Issue (i): Whether LPG supplied to Oil Marketing Companies was liable to tax at the lower rate applicable to domestic use on the basis of certificates issued by the purchasing companies.

Analysis: The supplier was entitled to rely on the certificates issued by Government-owned Oil Marketing Companies as to the extent of LPG consumed for domestic use. The authority had no prima facie material to doubt those certificates. In the absence of such material, the burden could not be shifted onto the assessee to independently establish the correctness of the certified position.

Conclusion: The issue was held in favour of the assessee and against the Revenue, and no question of law arose.

Issue (ii): Whether deduction of discount granted to Oil Marketing Companies on turnover sales was allowable.

Analysis: The question was treated as covered by an earlier decision of the Court, which had already accepted the claim in favour of the assessee.

Conclusion: The issue was decided in favour of the assessee.

Final Conclusion: The tax appeal did not succeed on the substantive challenge to the first and third issues, while the second issue was left to be pursued before the Tribunal by way of rectification in accordance with law.

Ratio Decidendi: Where certified data issued by regulated Government entities is not shown to be prima facie unreliable, the taxing authority cannot displace it by mere suspicion; and a covered issue follows the binding earlier decision.

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