https://www.taxtmi.com/caselaws?id=343538 Reassessment under the U.P. Value Added Tax Act is valid only when the assessing authority has relevant material creating a rational reason to believe that turnover has escaped assessment, been under-assessed, or otherwise wrongly allowed relief. A reopening cannot rest on vague or irrelevant considerations, and the absence of fresh material renders the belief arbitrary. On the facts, the reassessment permission was based only on the alleged omission of royalty in invoices, though the assessee was merely a trader and no legal basis was shown to impose royalty liability. The permission for reassessment and the consequential notice were quashed. en-us Tue, 02 May 2017 00:00:00 +0530 Sat, 27 May 2017 07:05:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=343538 Reassessment under the U.P. Value Added Tax Act is valid only when the assessing authority has relevant material creating a rational reason to believe that turnover has escaped assessment, been under-assessed, or otherwise wrongly allowed relief. A reopening cannot rest on vague or irrelevant considerations, and the absence of fresh material renders the belief arbitrary. On the facts, the reassessment permission was based only on the alleged omission of royalty in invoices, though the assessee was merely a trader and no legal basis was shown to impose royalty liability. The permission for reassessment and the consequential notice were quashed. Case-Laws VAT and Sales Tax Tue, 02 May 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=343538