2017 (1) TMI 638

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nducted at the business premises of the assessee and also simultaneously at M/s. Rajasthan Transport Co. Pvt. Ltd., Sanganer, and certain documents were taken by the survey team. It was noticed that the assessee is doing the business of dealing and sale & purchase of various items of chemicals and colours and the assessee is purchasing material in the course of inter State trade and commerce as per the provisions of sec. 3 of the Central Sales Tax Act, 1956. It was the claim that the assessee had sold the goods to various dealers who are also registered under the CST Act by endorsement of the documents. 3. The Assessing Officer, after investigation, noticed that though the assessee had sold certain goods u/s 6(2) of the Act and it was noti....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the reply, did not interfere and repeated what was held earlier. 6. The matter was assailed before the Dy. Commissioner (Appeals), who also upheld the findings of the AO. 7. On a further appeal, the Tax Board also came to the same conclusion which was reached by both the authorities below, and upheld not only the tax but also the levy of penalty. 8. Learned counsel for the petitioner vehemently contended that the finding reached by all the three authorities is perverse and contrary to the material on record. Learned counsel contended that all the three authorities have relied upon the Circulars of Commissioner, Commercial Taxes, whereas neither Act nor Rule does mention any period upto which the goods could have been kept, and the Circu....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nsporter for 41 to 80 days. On the one hand the assessee was incurring heavy demurrage but was not prepared to pay local tax and where there is a concurrent finding of fact recorded by the authorities below, no interference is required to be taken and supported the orders of all the three authorities. 10. I have considered the arguments advanced by the learned counsel for the parties and have perused the material available on record including the judgments relied upon by the learned counsel for the petitioner. 11. This court in the case of CTO v. M/s. Bombay Machinery Store, Kota (supra) has quashed the two Notifications/Circulars issued by the Commissioner dt 16.9.1997 as also 15.4.1998 and it is appropriate to quote paras 12 and 13 of t....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....to require any Income Tax authority to make a particular assessment or dispose of a particular case in a particular manner and such orders or instructions shall also not interfere with the discretion of the Commissioner (Appeals) in exercise of its appellate functions. Therefore, this court cannot countenance the issuance of such circulars by the Commissioner of Sales Tax, which unduly fetter with the quasi-judicial discretion of the assessing authorities, who are expected in law to give their findings of fact and interpret the statutory law in their own quasi-judicial discretion in accordance with the law as interpreted by the Supreme Court or jurisdictional High Court. The circulars issued by the Commissioner in the aforesaid manner like ....