TaxTMI 
TaxTMI 
1960 (3) TMI 33
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....ehalf of the petitioner, it is argued that M/s. Modern Dresses has no connection whatever with M/s. Silk House, and that it is an independent concern; that section 4(5) of the Act has no applicability whatever to the case, and that the assessment on the firm should be made on the basis of its being an independent concern. 2.. The materials to support the assessment on the petitioner-firm, which has been affirmed on appeal and revision, are extremely tenuous. There is a report of an Inspector of the Department, and there is a wedding invitation card, seized by the Inspector. The Inspector's report makes out that the business running under the name and style of M/s. Modern Dresses is the additional place of business of the firm running under....
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....two aforementioned partners, for the purpose of assessment under the sales tax law. Now, the question is whether M/s. Modern Dresses is an additional place of business of the partnership firm of M/s. Silk House, so as to attract liability to sales tax from the date of opening of the business, under sub-section (5) of section 4 of the Act. Sub-section (5) of section 4 of the Act runs as follows: "4(5). Where a dealer liable to pay tax under this Act starts a new business, partnership firm or concern, whether by changing the constitution, style or the name of the previous business, partnership firm or concern or otherwise, either singly or jointly with any other person, such newly started business, partnership firm, or concern shall, notwiths....
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.... of decision in this case. But what is relevant and which is destructive of the assessment order passed in this case, is the order passed on the application for registration of M/s. Modern Dresses by the very officer, who assessed the petitioner to sales tax. While the assessment was still pending, Hanuman Das, on behalf of M/s. Modern Dresses, applied for registration on 5th October, 1957, which application was received in the office of the learned Sales Tax Officer, Patna Urban Circle, on 9th October, 1957. In this application, Hanuman Das had described the status of the firm as "H.U.F." and in column 16 of the application, it is mentioned that the two proprietors were Banwari Lal, son of Kani Ram, and Hanuman Das himself. In the column r....
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....ealer's certificate P.T. II 2798, dated 8th January, 1958, which has been issued to the firm known as M/s. Modern Dresses, describes the name of the dealer as Hanuman Das, the status of the firm as "H.U.F.", and on the reverse mentions Hanuman Das, son of Banwari Lal, de facto karta, as having 16 annas interest in the firm. It is relevant in this connection to draw attention to the following sentences from the assessment order of the learned Sales Tax Superintendent: ".........Although it was sought to be argued before me that Hanuman Das was the proprietor of this business, this plea does not appear to have any substance in the face of the printed letter placed on the record. No evidence could be produced to the contrary." Having said tha....