Change of opinion barred reopening of assessment; cotton coated fabrics retained exemption under sales tax law.

Reopening of a completed assessment was treated as invalid where the original assessment had accepted the claim after verification and the reassessment lacked a cogent jurisdictional basis, so the attempt was only a change of opinion. Cotton coated fabrics were also found eligible for exemption under the Tamil Nadu General Sales Tax Act, 1958, because the transactions had been accepted as exempt in the original and appellate stages and the same treatment had been consistently followed in surrounding assessment years. The Tribunal's contrary view was rejected, the revision succeeded, and the first appellate authority's order was restored.

---

---

Issues: (i) Whether reopening of the completed assessment was valid or amounted to a mere change of opinion; (ii) whether cotton coated fabrics were entitled to exemption under the Tamil Nadu General Sales Tax Act, 1958.

Issue (i): Whether reopening of the completed assessment was valid or amounted to a mere change of opinion.

Analysis: The original assessment had accepted the assessee's claim after verification of the purchase bills and the record did not disclose any clear ground justifying reopening. The reassessment order did not show a cogent basis for disturbing the earlier conclusion and the attempt to revise the assessment was unsupported by a valid jurisdictional reason.

Conclusion: The reopening was invalid and was only a change of opinion.

Issue (ii): Whether cotton coated fabrics were entitled to exemption under the Tamil Nadu General Sales Tax Act, 1958.

Analysis: The assessing authority in the original order had treated the turnover relating to cotton coated fabrics as exempt, and the first appellate authority upheld that view after examining the purchase documents and the nature of the transactions. The same type of transactions had also been accepted as exempt in the earlier and subsequent assessment years, and the Tribunal's contrary conclusion was found to be erroneous.

Conclusion: Cotton coated fabrics were held to be exempt and the assessee's claim was accepted.

Final Conclusion: The revision succeeded, the Tribunal's order was set aside, the first appellate authority's order was restored, and the assessee obtained relief on all substantial questions decided.

Ratio Decidendi: A completed assessment cannot be reopened in the absence of a valid jurisdictional ground, and exemption classification should not be disturbed when the same transaction pattern has consistently been accepted on the record and in surrounding assessment years.

---