Declaration form requirement determines admitted tax liability and interest under the U.P. Trade Tax Act.

A statutory exemption or concession under the U.P. Trade Tax Act, 1948 depends on furnishing the prescribed declaration form. Where no such form is issued or furnished by the assessment or appellate stage, the tax is treated as payable at the normal rate and as an admitted tax liability. On that basis, interest under Section 8(1) runs from the due date of the return, and Section 8(1-B) does not apply. Purchases from registered dealers, or any assurance by selling dealers that the form would be issued, do not alter the revenue liability.

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Issues: Whether tax assessed at the normal rate on purchases made without the prescribed declaration form could be treated as admitted tax liability for the purpose of interest under Section 8(1) of the U.P. Trade Tax Act, 1948, and whether Section 8(1-B) of that Act applied.

Analysis: The exemption or concession claimed by the assessee depended upon issuance and furnishing of the statutory declaration form. No such form was issued. The Court followed the Division Bench view that where the prescribed declaration form is not furnished by the time of assessment or in appeal, the tax becomes payable at the normal rate and is treated as the tax admittedly payable. In such a situation, interest under Section 8(1) of the U.P. Trade Tax Act, 1948 is leviable from the due date of the return, and Section 8(1-B) does not apply. The Court also held that the assessee's purchase from registered dealers and the alleged promise of the selling dealers to issue the form did not alter the revenue liability.

Conclusion: The tax demand was correctly treated as admitted tax liability, interest under Section 8(1) was payable, and the assessee's challenge failed.

Final Conclusion: The revision was dismissed and the interest levy upheld in favour of the revenue.

Ratio Decidendi: Where a statutory exemption or concession depends on furnishing a prescribed declaration form, failure to furnish that form by the assessment or appellate stage renders the tax at the normal rate an admitted tax liability, attracting interest under Section 8(1) of the U.P. Trade Tax Act, 1948.

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