2019 (8) TMI 780

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....both these writ petitions is also before this Court. 2. With consent of learned counsel on both sides, main writ petitions are taken up, heard out and are being disposed of. 3. Subject matter of instant writ petitions pertain to assessment under 'Central Sales Tax Act, 1956' ('CST Act' for brevity), for the assessment years 2015-16 and 2017-18. 4. There is no disputation or disagreement between the two counsel before this Court that, post 01.01.2007, the applicable statute is 'Tamil Nadu Value Added Tax Act, 2006 (Tamil Nadu Act 32 of 2006)', which shall hereinafter be referred to as 'TNVAT Act' for the sake of convenience and clarity. This court is informed that both these writ petitions arise out o....

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....NVAT Act and Rule 10(11) of 'Tamil Nadu Value Added Tax Rules, 2007' (hereinafter 'TNVAT Rules' for the sake of convenience and clarity). To be noted, TNVAT Rules is subordinate legislation made by the delegate in exercise of Rule making power under Section 80(1) of TNVAT Act. 9. This Court deems it appropriate to extract Section 22(3) of TNVAT Act and Rule 10(11) of TNVAT Rules. The same read as follows: '22. Procedure to be followed by Assessing Authority: (1).... (2) .... (3) Notwithstanding anything contained in subsection (2), not exceeding twenty per cent of the total number of such assessments shall be selected by the Commissioner in such manner as may be prescribed for the p....

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....ction 22(3) of TNVAT Act, which provides for 20% of cases being selected/picked up for scrutiny itself provides for revision of assessment. There is no difficulty in accepting the submission that Section 22(3) of TNVAT Act itself provides for revision of assessment, but the revision of assessment has to necessarily be done in accordance with Rule 10(11) of TNVAT Rules. Rule 10(11) of TNVAT Rules makes it clear that assessing authority should call for accounts for detailed scrutiny and pass orders. Therefore even if the impugned orders are not under Section 22(4) of TNVAT Act as contended, assuming it is under Section 22(3) of TNVAT Act by virtue of the mandate under Rule 10(11) of TNVAT Rules, it becomes necessary for the Assessing Officer ....