DISCOVERY OF NEW FACTS.

[Sadanand Bulbule]

Sir

Section 6-A(3) of the CST Act,1956 provides for further reassessment of interstate stock transfers on the condition that, there shall be " discovery of new facts".

The legal position being so, what are the possible new facts that could be discovered by the assessing authority to re-open the concluded original reassessment three years back?

In the absence of any new facts discovered, whether assessing authority can invoke the jurisdiction under Section 6-A(3) of the CST Act?

pl enlighten with judicial rulings, if any.

AI Summary

Discovery of new facts can permit reassessment of interstate stock transfers when material facts affecting taxable turnover are found.
Reassessment under Section 6-A(3) requires discovery of material new facts affecting taxable turnover or indicating tax evasion or non-deposit. Absent such newly discovered material evidence-for example, previously unavailable information about the nature of transactions or concealment-an assessing authority should not reopen a concluded reassessment; the determination depends on the facts and circumstances of each case.