AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2024 (11) TMI 543
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..../2022 2008-09 04.01.2021 27.10.2021 2 4229/2022 2009-10 31.12.2020 27.10.2021 3 4232/2022 2011-12 07.01.2021 27.10.2021 2. The learned counsel for the petitioner has placed reliance on the decision in the petitioner's own case for the Assessment year 2010-2011 vide order dated 17.03.2021 in W.P.No.6783 of 2021, wherein, the Court taking note of the decision of the Hon'ble Supreme Court in the case of Sales Tax Officer and Another Vs. M/s.Sudarsanam Iyengar and Sons reported in (1969) 2 SCC 396 and this Court in the case of Tvl.Victus Dyeings Vs. The Assistant Commissioner (ST) in W.P.Nos.20925 of 2019 batch etc., dated 29.07.2019 has stayed the proceedings. 3. On the other hand, the learned Government Advocate for the respondents would submit that Court has already taken a view in the case of M/s.Orient Fans Vs. The State Tax Officer in W.P.Nos.10118 of 2019 vide order dated 08.04.2022, wherein, it has been held that it is sufficient, if notice is issued under within the period specified under Section 27 of TN VAT Act, 2006. The challenge to the impugned orders are primarily on the ground that the assessments were deemed to have ....
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....on 23.07.2014. It is therefore submitted that in any event wrong mentioning of the provisions in the notice will not be fatal to the proceedings under Section 27 of the TN VAT Act, 2006. It is therefore submitted that these writ petitions are liable to be dismissed. 8. I have considered the arguments advanced by the learned counsel for the petitioner and the learned counsel for the respondents. 9. As far as the limitation is concerned, it is sufficient if a notice is issued for revising the assessment in time. This Court earlier had an occasion to deal with the case of Tvl.Victus Dyeings, Represented by its Partner A.Loganathan vs . The Assistnt Commissioner (ST), Rural Assessment Circle, Tirupur in the context of Section 27 of the TNVAT Act, 2006., wherein the dispute related to the Assessment Years 2007-08 to 2010-2011 respectively. 10. As per proviso to Section 22(2) of the TNVAT Act, 2006 , the assessment years were deemed to have been completed on 30.06.2012. Thus, any proceedings to revise the assessment which is deemed to have been completed under proviso to Section 22(2) of the TNVAT Act, 2006 had to be completed within six years for the deemed assessment under Sec....
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.... has come into his possession, the Commissioner is satisfied that any turnover of a dealer during any period .......... has escaped assessment ......... the Commissioner may, at any time within three calendar years from the expiry of such period........ proceed in such manner as may be prescribed to ..... assess ........ the tax payable on any such turnover." 15. The Court held as follows :- Under Section 11-A of the Act the period of 3 years has to be calculated from the expiry of the period in regard whereto any turnover has escaped assessment. As the unit of assessment is a quarter, the period in s. 11-A can only mean a quarter and it cannot be further split up into months, weeks and days. The said period is the fourth quarter and it expired on October 31, 1951. If so, it follows that the Commissioner has jurisdiction to assess the turnover in respect of the entire fourth quarter as the notice was issued within three years from the expiry of the said quarter. 16. The Hon'ble Supreme Court in The State of Punjab and Others vs. M/s.Tara Chand Lajpat Rai supra while answering a similar issue of Limitation in Section 11(2) of the Punjab General Sales Tax Act, 1948....
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....t satisfied without requiring the presence of a registered dealer who furnished the returns or production of evidence that the returns furnished in respect of any period are correct and complete, he shall serve on such dealer a notice in the prescribed manner requiring him, on a date and at a place specified therein, either to attend in person or to produce or to cause to be produced any evidence on which such dealer may rely in support of such returns. (3) On the day specified in the notice or as soon afterwards as may be, the Assessing Authority shall, after hearing such evidence as the dealer may produce, and such other evidence as the Assessing Authority may require on specified points, assess the amount of tax due from the dealer. (4) If a registered dealer, having furnished returns in respect of a period, fails to comply with the terms of a notice issued under sub- section (2), the Assessing Authority shall within three years after the expiry of such period, proceed to assess to the best of his judgment the amount of the tax due from the dealer. (5) If a registered dealer does not furnish returns in respect of any period by the prescribed date, the ....
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....g Authority shall, after making such enquiry as he considers necessary and after giving the dealer a reasonable opportunity of being heard, determine the turnover of the dealer for the said period to the best of his judgment and assess the tax on the basis thereof. This assessment, subject to the provisions of Section 10 and to such orders as may be passed in appeal or revision, shall be final for the period". Section 10 : Assessment of tax and a levy of licence fees, or registration fees or exemption fees incorrectly assessed.- If for any reason the whole or any part of the turnover of business of a dealer has escaped assessment to the tax, or if the licence fee, registration fee or exemption fee has escaped levy or has been assessed at too low a rate in any year, the assessing authority at any time within a period of three years next succeeding that to which the tax or the licence fee, registration fee or the exemption fee relates, assess the tax payable on the turnover which has escaped assessment or levy the correct amount of licence fee, registration fee or exemption fee, after issuing a notice to the dealer and after making such inquiry as he considers necessary.....
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....nitiated by the respondent Sales Tax Officer in TIN.33664740070/2010- 2011-Internal Audit Defect No.48/8 dated 05.02.2021 was stayed on 17.03.2021. 25. As far as the facts of these cases for the respective Assessment years are concerned, Assessment Orders were passed under Section 22(2) of the TN VAT Act, 2006. Thereafter, notices were issued on 23.07.2014 purportedly under Section 84 of the TN VAT, Act, 2005. Subsequently, notices under Section 27(1)(a) of the Act were also issued. Details are captured below:- Table II W.P.No. Assessment Year A.O under Section 22(3) Notice under Section 84 Notice under Section 27(1)(a) 4225/2022 2008-09 18.02.2011 23.07.2014 18.11.2019 4229/2022 2009-10 26.03.2011 23.07.2014 06.02.2020 4232/2022 2011-12 11.06.2012 23.07.2014 06.02.2020 26. A reading of the above notices dated 23.07.2014 issued for the respective Assessment Years indicate that these notices were issued under Section 27 of the Act, as they also propose to levy penalty under Section 27(3) of the TN VAT Act, 2006. 27. These proceedings have culminated in the revised Assessment Orders all dated 04.01.2021, 31....
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.... by the competent authority does not take away the jurisdiction of the authority under Section 22 of the Army Act. Therefore, the order of discharge of the appellant from the army service cannot be vitiated on this sole ground as contended by the Learned Counsel for the appellant." 32. In N. Mani v. Sangeetha Theatres & Ors. [(2004) 12 SCC 278], also at his Hon'ble Supreme Court reiterated the above principle. Relevant portion reads as follows:- "9. It is well settled that if an authority has a power under the law merely because while exercising that power the source of power is not specifically referred to or a reference is made to a wrong provision of law, that by itself does not vitiate the exercise of power so long as the power does exist and can be traced to a source available in law." 33. It is therefore considered that the notices that were issued on 23.07.2014 were also notices issued under Section 27(1)(a) of the TN VAT, Act, 2006. There was only a typographical error in the notices and they were supposed to be issued under Section 27(1)(a) of the TN VAT Act, 2006. The tenor of the notice also make it clear that they were issued for the purpose of revisi....
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....n that referring to Section 84 in the show cause notice dated 30.04.2014 was quoting a wrong provision of the Act. 7. In any event, if the assessment has to be reopened, it requires to be done in terms of Section 27 (1) of the Act. The Assessing Officer is bound to disclose as to under which Sub- Section, he proposes to bring the case of the dealer for assessing the turn over on the ground that the sale has escaped assessment or the dealer has been assessed at a lower rate than the rate at which it is assessable. A plain reading of the show cause notice dated 30.04.2014 will clearly show that there is no such proposal made by the Assessing Officer assuming the Assessing Officer invoked his power under Section 27 (1) of the Act. Furthermore, the Assessing Officer, while taking note of the objections raised by the appellant dated 20.05.2014, has not given any reasons as to why the Government letter referred to by the appellant is not relevant to the appellant's case. One more opportunity was available to the Assessing Officer to pass a speaking order, when the appellant filed an application under Section 84, dated 12.09.2014. However, the Assessing Officer did not go int....