TaxTMI 
TaxTMI 
1972 (10) TMI 118
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....essing Authority filed the case on 27th October, 1969. Thereafter, the Assessing Authority served another notice upon the petitionerfirm in form S.T. XIX in which it was mentioned that the sales amounting to Rs. 1,32,038.76 made to different registered dealers were wrongly allowed because those dealers were not genuine dealers in terms of the definition of the word "dealer" as given in section 2(d) of the Act. The petitioner-firm was called upon to show cause why the exemption granted to it under section 5(2)(a)(ii) of the Act in respect of the sales made to the alleged ungenuine dealers be not withdrawn. In response to this notice, a representative of the petitioner-firm appeared before the Assessing Authority and submitted that the sales ....
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....regarding the cancellation order have to be mentioned in the official Gazette as soon as possible as laid down under rule 12(2) of the Rules framed under the Act. The publication of this cancellation, being a mandatory requirement of law, could not entail penal consequences upon the selling dealers unless the same had been complied with. About the first ground urged by the learned counsel for the petitioner-firm, I may add that the assessments are usually framed by the Assessing Authorities in a hurried manner. At that stage the gross turnover of a dealer and the certificates given by the purchasing dealer in form S.T. XXII are usually examined and the assessments are framed. The Assessing Authorities are not called upon to view every certi....
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....e cancellation of a registration certificate are published in the official Gazette, then the selling dealer could not be allowed to say that he had no knowledge about the cancellation of the registration certificate of the purchasing dealer. In that case, it would not be in his own interest to receive and act upon the certificate given in form S.T. XXII by such a dealer. Where the revenue is itself negligent and does not perform its statutory duties of publishing the requisite information in the official Gazette, it cannot turn round and demand tax from the selling dealer on the ground that the certificates produced for getting exemptions under section 5(2)(a)(ii) of the Act were signed by ungenuine dealers. The Assessing Authority exercise....