TaxTMI 
TaxTMI 
2014 (8) TMI 141
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....lso seeks to question the consequential reassessment notice. The petitioner is engaged in the manufacture and sale of plastic containers and was duly registered under the U.P. Trade Tax Act, 1948, which has since been repealed w.e.f. 1 January 2008. After the enforcement of the U.P. Value Added Tax Act, 2008, the petitioner has obtained registration as a manufacturer and seller of plastic containers. During the course of the Assessment Year 2007-08 and upto 31 December 2007, containers made of plastic were taxable @ 8% at the point of sale by a manufacturer or importer by virtue of a notification dated 5 February 2003. Under the notification, Entry 64 read as follows: Sl. No. Description of goods Point of tax Rate of tax p....
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....ly to the notice objecting to the proposed reassessment. By an order dated 21 March 2014, the Additional Commissioner has granted permission to the Assessing Authority to reassess the petitioner for the Assessment Year 2007-08 in the extended period of limitation on the premise that the petitioner has manufactured disposable plastic containers and that the taxing entry is not in respect of disposable plastic containers but only in respect of those which are of non-disposable nature. The Assessing Authority has issued a notice on 20 March 2014 initiating assessment proceedings. The submission which has been urged on behalf of the petitioner is that the Additional Commissioner had absolutely no basis or tangible material to reopen the asse....
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....part of the turnover of the dealer, from any assessment year or part thereof, had escaped assessment to tax or has been under assessed or has been assessed to tax at a rate lower than at which it is assessable or a deduction or exemption has been wrongly allowed. The foundational requirement of sub-section(1) is that there must be reason to believe. Under sub-section (2), no order of reassessment is permissible after expiration of two years from the end of such year or 31 March 1998, whichever is later. Under the proviso to sub-section (2), the Commissioner, either on his own or on the basis of the reasons recorded by the authority, is permitted to authorize the Assessing Authority to make a reassessment within the extended period of limita....
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....cation dated 5 February 2003 refers to plastic buckets, plastic basins, plastic soap case, plastic plates and "other wares and containers made of plastic", amongst other things. The notification does not qualify the expression "containers made of plastic" by the words 'non disposable'. Merely because the notification does not use the expression "disposable containers made of plastic" would not furnish any ground to the Additional Commissioner to permit a reopening of assessment. The Assessing Authority had duly applied its mind to the business activities of the petitioner and as the assessment order would indicate, the authority was conscious of the position that the petitioner manufactures disposable containers. In this view of the....