2017 (5) TMI 796

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....is dealing are air ventilator, which are said to be commonly known as pollution control equipments. These pollution control equipments or air ventilator are generally installed in factory sheds and go-downs for throwing out hot/polluted air outside and they work without any power or energy depending upon the speed of wind. In the assessment year, 2011-2012 the petitioner was assessed to tax on the turnover of sale of the aforesaid air ventilators at the rate of 5% by treating it to be a classified item no. 97 of Schedule II of Part A of the U.P. VAT Act. The petitioner has now been served with an order dated 21st November, 2016 purported to be have been passed under Section 29(7) of the U.P. VAT Act granting permission for re-assessme....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... tax at a rate lower than one prescribed; and (iv) if any deduction or exemption has been wrongly allowed in respect thereof. In other words, the assessing authority has the power to re-assess the turnover of any dealer for a particular assessment year if he has reason to believe that any of the above four conditions exists. Therefore, existence of reason to believe is an essential condition for exercising the power of re-assessment. The re-assessment proceedings are ordinarily undertaken within three years from the end of the relevant assessment year as laid down under Section 29 (3) of the U.P. VAT Act but they can also be initiated subsequent to the above period of three years but before expiry of 8 years from the end of the releva....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the U.P. Trade Tax Act, 1948 is the same as used in Section 29 of the U.P. VAT Act and both the provisions are paramateria with one another. Apart from the fact that the assessing authority has subsequently come to the conclusion that the air ventilators in which the petitioner deals were not taxable as a classified items at the rate of 5% but as un-classified item at the rate of 13.5% is nothing but a change of opinion on the allegation that the order of assessment was passed without application of mind. It is also relevant to mention here that the assessing authority is not vested with any power to review its order or an order of assessment. The assessment order passed by the assessing authority is only open for re-assessment subje....