Implied remand in tax proceedings permits fresh inquiry when merits are expressly left open after setting aside.

An appellate order setting aside an adjudication order on a preliminary natural justice ground, while stating that the matter was left "without prejudice to the merits of the case," may be treated as an implied remand or continuation of proceedings. The substance of the order, rather than the absence of express remand words, shows whether the merits were kept open for fresh determination. On that construction, a new show cause notice on the same allegations is not barred, because the earlier proceedings are not finally terminated and the departmental authority may inquire into the charges afresh.

---

---

Issues: Whether the appellate order vacating the adjudication order, read with the words "without prejudice to the merits of the case", amounted to an implied remand or authorisation for a fresh inquiry, so as to permit a new show cause notice on the same facts and charges.

Analysis: The order of the Central Board of Revenue was construed on its substance rather than its form. Although it did not contain an express direction for remand, the language used showed that the prior adjudication was set aside only on a preliminary ground relating to breach of natural justice and that the merits were intentionally kept open. The expression "without prejudice to the merits of the case" was treated as indicating that the proceedings were not finally terminated and that the authority could proceed to examine the charges afresh. On that construction, the earlier order did not preclude a fresh inquiry into the same allegations.

Conclusion: The order impliedly permitted a further inquiry and the fresh show cause notice was valid.

Final Conclusion: The petition failed because the appellate order was held not to bar reconsideration of the allegations on merits, leaving the departmental proceedings alive.

Ratio Decidendi: An appellate order setting aside an adjudication order "without prejudice to the merits of the case" may be construed as an implied remand or continuation of proceedings, even without express remand words, if the substance of the order shows that the merits were left open for fresh determination.

---