Reassessment based on the same facts was invalid where a prior binding clarification had already settled the concessional tax rate.

Reassessment under the Tamil Nadu General Sales Tax Act was held unsustainable where the same turnover and factual position had already been examined and a prior clarification under Section 28-A had settled the concessional tax rate. The court treated the reassessment notice as a mere change of opinion because no fresh material existed and the Assessing Authority had ignored the earlier binding clarification. On that basis, the reassessment jurisdiction could not be validly exercised under Section 16(1), and the impugned notice was quashed.

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Issues: Whether the reassessment notice under Section 16(1) of the Tamil Nadu General Sales Tax Act, 1959 could be sustained when the same turnover and the same factual position had already been considered earlier and the concessional rate issue stood clarified under Section 28-A of the same Act.

Analysis: The earlier clarification issued by the Commissioner under Section 28-A had already determined that the dealer was entitled to the concessional rate of tax on the relevant sales, and the Assessing Authority had acted upon that clarification in the earlier assessment. The impugned reassessment notice proceeded on the very same set of facts without any fresh material and ignored the binding clarification. In these circumstances, the invocation of reassessment jurisdiction amounted only to a change of opinion and could not be justified under Section 16(1). Such action was contrary to the binding effect of the earlier clarification and reflected impermissible disregard of the hierarchical position of the authority.

Conclusion: The reassessment notice was not sustainable and was liable to be quashed.

Final Conclusion: The writ petition succeeded and the impugned reassessment notice was set aside.

Ratio Decidendi: Reassessment cannot be invoked on the same facts merely because the Assessing Authority later changes its view, especially where an earlier binding clarification has already settled the tax position.

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