TaxTMI 
TaxTMI 
1996 (5) TMI 406
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....ts for the aforesaid years. 2. Facts which require to be noticed for the purpose of this case are: Petitioner is a registered dealer doing business in sweetmeats and kharas borne on the files of the respondent-assessing authority. Petitioner in his business premises prepares food (sweetmeats and kharas), stocks it, exhibits for sale and sells it, unlike in a place/premises, the business of the supply of meals or refreshments to the public or class of public for consumption in the premises is carried on. The assessing authority while framing assessments for the assessment years 1986-87, 1987-88 and 1988-89 granted composition benefit to the dealer under section 17(4) of the Act under a mis-apprehension that the dealer is a hotelier....
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....s per Second Schedule No. 152 amended as per revised Classification of the CCT as per CLR/CR/1804/ 87-88 dated August 11, 1988 at 5 per cent. If you have any objections, to the proposed assessment under section 25-A you are called upon to file your written objections within 5 days from the date of receipt of this notice failing which the order will be passed accordingly." 4. Aggrieved by these notices issued for several years basing on the clarification of the Commissioner of Commercial Taxes, dealer is before this Court, without filing his objection before the assessing authority on the ground that the notices so issued are without jurisdiction, invalid and illegal. Respondents though served, have not choosen to file their obj....
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....was good when it was passed erroneous due to operation of a decision. The same principle will not apply in the case of circulars which have been issued subsequent to the completion of assessments. 6.. The power of rectification conferred on the assessing authority under section 25-A of the Act is a quasi-judicial function. In the exercise of that power the assessing authority cannot permit its jurisdiction to be influenced by dictation of another authority. It should exercise the power without the influence of higher authority. The assessing authority should not only determine the apparent mistake subjectively but also has to apply its mind to the facts of the case and cannot allow itself to be influenced or guided in the matter b....
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....dingly invalid. 8.. Even the notice issued for the assessment year 1988-89 suffers from many vices including the non-application of mind by the assessing authority before causing issuance of such notice. For this assessment year, the assessing authority had recorded a finding that the dealer is eligible for the composition benefit under section 17(4) of the Act. In a proceeding for rectification, the assessing authority cannot change his opinion merely relying upon a circular which was available but not noticed by the assessing authority on the date of the order to suggest that the petitioner was not eligible for composition benefit. Rectification could be only of a mistake apparent on the face of the record and not a new approach to the....