AI Drafter 
TaxTMI 
TaxTMI 
TaxTMI 
2025 (11) TMI 1018
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.... 01.04.2010 to 31.03.2013 under Section 42 of the Odisha Value Added Tax Act, 2004, vide Order dated 21.03.2025 purported to have been passed in pursuance of Order dated 19.10.2023 of the Joint Commissioner of Sales Tax (Appeal), Territorial Range, Cuttack-II, Cuttack in Appeal No. AA/03/OVAT/ CUII/2022-23. Facts emanate from the writ petition: 2. A Tax Audit in terms of Section 41 of the Odisha Value Added Tax Act, 2004 (for short, "OVAT Act") read with Rule 41 of the Odisha Value Added Tax Rules, 2005 (for brevity, "OVAT Rules") for the tax periods 01.04.2010 to 31.03.2013 was undertaken with respect to M/s. IOT Infrastructure and Energy Services Limited^1, in pursuance of which Audit Visit Report in Form VAT-303 (AVR", for short) as prescribed under Rule 45 was prepared on 31.03.2016 by the Deputy Commissioner of Sales Tax, Jagatsinghpur Circle, Paradeep. No assessment proceeding was initiated under Section 42 of the OVAT Act pursuant thereto. 2.1. Nonetheless, a notice dated 21.07.2016 in Form VAT-307 prescribed under Rule 50 was issued for assessment of tax on the ground of escaped turnover under Section 43. On the petitioner being "assessed under Section 39 for the t....
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....above observation of facts, it is pertinent to note that the statement given by the learned advocate and the questions raised were vital ones. Actually, the Assessing Authority has erred in completing the assessment proceeding under Section 43 instead of Section 42 of the OVAT Act, 2004. Hence, this forum set aside the complete assessment proceedings, as the Assessing Authority has not completed the assessment proceedings under the correct section and as per the provisions of law. Further, the Assessing Authority is directed to issue Form VAT-306 notice to the appellant and to complete the proceeding under Section 42 of the OVAT Act within a period of four months and the appellant is directed to cooperate with the Assessing Authority and provide all the requisite books of accounts for completion of assessment within the prescribed time. In the result, the appeal is allowed and the order of assessment is set aside." 2.4. Such direction of the Appellate Authority gave rise to issue of a statutory notice dated 01.05.2024 in Form VAT-306 prescribed under Rule 49 of the OVAT Rules for the tax periods from 01.04.2010 to 31.03.2013 by the Joint Commissioner of Sales T....
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....itioner concluded the Audit Assessment under Section 42 of the OVAT Act by Order dated 21.03.2025 raising a demand comprising tax and penalty. 2.8. Challenging said assessment order, the instant writ petition is filed. Hearing: 3. On 19.08.2025 during course of hearing, serious objection being raised by Sri Sunil Mishra, learned Standing Counsel for the CT and GST Organisation with respect to entertainment of writ petition by way of written note of submission. A written submission was also submitted by the counsel for the petitioner. 3.1. Adjournment being sought for by the learned Standing Counsel appearing for the opposite parties to address the point raised by learned Senior Counsel that Audit Assessment under Section 42 was abandoned as there was non-compliance of mandatory requirement of Section 41(4), but proceeding for assessment under Section 43 was undertaken taking into account the AVR; thereby the order of Appellate Authority could not grant fresh lease of life to the assessment under Section 42. Before issuing notice for Audit Assessment, the Assessing Authority should have verified his own jurisdiction to proceed with such assessment on the basis of time-ba....
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....ent or order of any Court or Tribunal or to give effect to the finding or direction contained in such order. Nevertheless, such a provision cannot be said to have extended its application to the order(s) passed by the Joint Commissioner of Sales Tax (Appeal) in the first appeal. In other words, the attributes of the "Appellate Authority" cannot be perceived to have the same as that of the Court or the Tribunal. He placed reliance on M.P. Steel Corporation Vrs. Commissioner of Central Excise, (2015) 7 SCC 58 and Sakaru Vrs. Tanaji, (1985) 3 SCC 590 to forcefully urge that "Court" cannot be equated with "Tribunal". Therefore, with the same analogy he was vocal in advancing argument that since "the Court" and "the Tribunal" are distinct having different connotations, "the Appellate Authority" also would be understood as distinct and different from the Court or the Tribunal. Sri V. Sridharan, learned Senior Advocate laid stress that the "order" passed by the Appellate Authority cannot be comprehended within the ken of Section 49(2). 4.3. He, therefore, strenuously argued that since the AVR being not submitted to the Assessing Authority within the period stipulated under Section 41(4....
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....r Section 42 by issue of statutory notice prescribed under Rule 49, the assessment proceeding cannot be invalidated. 5.4. Hence, he submitted that exercising extraordinary jurisdiction by this Court under Articles 226 and 227 of the Constitution of India would be to allow the petitioner to circumvent the alternative remedy available under the OVAT Act. Analysis and discussions: 6. At the first blush the arguments advanced by Sri Sunil Mishra, learned Standing Counsel, though appeared to be attractive, but on a deep excursion of provisions of Section 49 and Section 41 read with Section 42 would lead to obvious conclusion that the stand of the CT and GST Organisation is mere an attempt to revive what has already been time-barred. 6.1. The writ jurisdiction being a discretionary jurisdiction, it is for the constitutional courts to decide whether or not they should exercise their discretion to entertain a writ petition. In that context, it would be apposite to point out that there is a subtle distinction that exists between instances when a court dismisses a writ petition as 'not maintainable' and when it exercises its discretion against 'entertaining' it. The former is a c....
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....statutory Rules and Regulations. When the action of the instrumentalities of the State is not as per the Rules and Regulations and supported by the statute, the Court must exercise its jurisdiction to declare such an act illegal and invalid. It becomes the duty of the Court to ensure compliance of such Rules and Regulations for the reason that they are binding on the authorities. Any order or action done by the authority in violation of the statutory provisions is constitutionally illegal and such order cannot be claimed to have any sanctity in law. There can be no obligation on the part of the Court to sanctify such illegal act. Reference can be had to Taylor Vrs. Taylor, (1875) 1 Ch D 426; Nazir Ahmed Vrs. King Emperor, AIR 1936 PC 253; Deep Chand Vrs. State of Rajasthan, AIR 1961 SC 1527; Sukhdev Singh Vrs. Bhagatram Sardar Singh Raghuvanshi, AIR 1975 SC 1331; Hukam Chand Shyam Lal Vrs. Union of India, AIR 1976 SC 789; State of Bihar Vrs. JAC Saldanna, AIR 1980 SC 327; Ambika Quarry Works Vrs. State of Gujarat, AIR 1987 SC 1073; Purushottam Vrs. Chairman, Maharashtra State Electricity Board, (1999) 6 SCC 49; Haresh Dayaram Thakur Vrs. State of Maharashtra, (2000) 6 SCC 179; Hira....
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....or after amendment. Maybe the High Court or a Civil Court is not bound by the said provisions but the authorities under the Act are. Nor can there be any question of the High Court clothing the authorities with its power under Article 226 or the power of a Civil Court. No such delegation or conferment can ever be conceived." ***" 6.5. Following observation made in Gujarat Steel Tubes Ltd. Vrs. Gujarat Steel Tubes Mazdoor Sabha, (1980) 2 SCC 593, deserves to be referred to: "72. Once we assume that the jurisdiction of the arbitrator to enquire into the alleged misconduct was exercised, was there any ground under Article 226 of the Constitution to demolish that holding? Every wrong order cannot be righted merely because it is wrong. It can be quashed only if it is vitiated by the fundamental flaws of gross miscarriage of Justice, absence of legal evidence, perverse misreading of facts, serious errors of law on the face of the order, jurisdictional failure and the like. 73. While the remedy under Article 226 is extraordinary and is of Anglo-Saxon vintage, it is not a carbon copy of English processes. Article 226 is a sparing surgery but the lancet operates where i....
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....ute must be read, first as a whole and then section by section, clause by clause, phrase by phrase and word by word. If a statute is looked at, in the context of its enactment, with the glasses of the statute-maker, provided by such context, its scheme, the sections, clauses, phrases and words may take colour and appear different than when the statute is looked at without the glasses provided by the context. With these glasses we must look at the Act as a whole and discover what each section, each clause, each phrase and each word is meant and designed to say as to fit into the scheme of the entire Act. No part of a statute and no word of a statute can be construed in isolation. Statutes have to be construed so that every word has a place and everything is in its place.' ***" 8. The question that is pertinent to be answered is whether the Assessing Authority has rightly invoked jurisdiction to proceed with Audit Assessment under Section 42 by issue of statutory notice in Form VAT-306 on the basis of AVR submitted under Section 41 beyond the period stipulated therein. 8.1. From the assessment order it is apparent that "the Assessing Authority is directed to issue Form VAT-306 ....
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....o be intra-State sales falling under the OVAT Act. Then also, Section 49(2) is triggered. 12. Section 49(2) is not triggered between Section 43 of the OVAT Act and Section 42 of the OVAT Act. The term 'any other provision of law' in Section 49(2) of the OVAT Act, will refer to VAT Act vis-a-vis CST Act or vice versa and does not refer to different sections within the OVAT Act." 8.4. Though a written note of submission has been furnished by the learned Standing Counsel, neither any stance contrary to such suggestion of the petitioner has been taken nor did he argue on this point. 8.5. Dissection of sub-section (2) of Section 49 of the OVAT Act brings to fore the following key components, which deserve to be discussed: a. The provision is triggered when a Court or Tribunal, in an appeal or revision proceeding, passes an order stating that a tax assessment made under this Act, i.e., the OVAT Act or the Central Sales Tax Act, 1956, should have been assessed under a different law. This implies that the assessment under Section 43 taking cognizance of the AVR submitted under Section 41 of the OVAT Act being found erroneously invoked, in the garb of Section 49(2), ....
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....he preceding words. If the Legislature intended its general words to be used in an unrestricted sense so as to embrace the objects, persons or things covered by the particular words, it would not have taken the trouble of using the particular words at all. Hence, the scope and the extent of power conferred on the particular authority/forum is patent from the language employed in Section 49(2), which begins with the expression "Where any Court or Tribunal passes an order in appeal or revision to the effect that any tax assessed under this Act or the Central Sales Tax Act, 1956 (74 of 1956)". Whereas the provisions for "Appeal" are provided for under Section 77 (first appeal before the authority subordinate to the Commissioner specified under Rule 3 read with Rule 86 of the OVAT Rules), second appeal before the Sales Tax Tribunal constituted under Section 4) has been provided for in Section 78. However, the power of "Revision" is conferred on the Commissioner or his delegatee under Section 79 and Section 80 speaks of power of the High Court to revise the order passed in second appeal by the Sales Tax Tribunal on question of law. The aforesaid expression, therefore, conveys t....
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....on 42 as a consequence of tax audit taking into account self-same AVR, which was not submitted in conformity with the mandatory requirement under Section 41. e. The expression "at any time within five years from the date of such order, notwithstanding the applicability of any period of limitation to such assessment or reassessment under this Act" signifies that a special period of limitation of five years, calculated from the date of the order of Tribunal in appeal or the order in revision by the High Court is envisioned. Manifestly, this "five-years period" overrides any other period of limitation that might otherwise apply to assessment or reassessment under the OVAT Act. This ensures that even if the standard limitation period for assessment has expired, the Assessing Authority would have a window to rectify the assessment based on the directive in appeal or revision. This provision is designed to prevent tax evasion or loss of revenue due to procedural errors in applying the correct law, especially when such errors are identified at a later stage. A fortiori, an AVR submitted beyond period stipulated under Section 41 of the OVAT Act cannot be utilised for Audit Assessm....
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....co Store Vrs. The Sales Tax Officer, 2015 (I) ILR-CUT 1079, Audit Assessment under Section 42 of the OVAT Act cannot be made after completion of the assessment of the escaped turnover under Section 43 of the said Act, for the self-same period. It has been held by this Court in the said reported judgment as follows: "4. On rival contentions of the parties, the only question that falls for consideration by this Court is as to whether the Taxing authority has jurisdiction to make Audit Assessment under Section 42 of the OVAT Act after completion of the assessment under Section 43 of the said Act for the self-same tax period(s)? *** 6. The Scheme of the OVAT Act read with OVAT Rules provides a complete mechanism for making different types of assessment for the purpose of determination of tax liability under the said Act. Such assessments, as provided under sub-section (5) of Section 2 of the OVAT Act, are self-assessment (Section 39), provisional assessment (Section 40), Audit Assessment (Section 42), assessment of escaped turnover (Section 43), assessment of unregistered dealer liable to be registered (Section 44) and assessment of casual dealer (Section 45)....
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....th, erroneous claims of deduction including input tax audit, evasion of tax or contravention of any provision of the Act affecting the tax liability of the dealer, the Assessing Authority may notwithstanding the fact that the dealer may have been assessed under Section 39 or 40, serve on such dealer a notice as prescribed under the Rules along with a copy of the audit visit report for making an Audit Assessment. Therefore, if Audit Assessment has to be made after completion of any other assessment provided under the OVAT Act, the same is restricted to assessment made under Section 39 or Section 40 of the OVAT Act and all other types of assessment provided under the said Act are impliedly excluded. If the Legislature in its wisdom has taken away assessment as contemplated under Section 43 from Section 42 for the purpose of making Audit Assessment, after completion of any other assessment under the OVAT Act, Section 43 cannot be read into Section 42 by the State. *** 15. In view of the above settled legal position, Section 43 cannot be read into Section 42 by the State when the Legislature in its wisdom excluded Section 43 from the provisions of Section 42 of the OV....
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....on under Section 42 could not be done when the AVR submitted had already been treated to be not in consonance with the mandatory requirement of Section 41(4). Ergo, this Court is of the firm opinion that the impugned order of assessment under Section 42 cannot be held to be tenable in the eye of law. 8.9. Had the assessment of the turnover, that formed subject matter of assessment under Section 43 of the OVAT Act, been related to inter-State transaction falling within the purview of the Central Sales Tax Act, 1956, but was assessed under the OVAT Act, in such eventuality, the provisions of Section 49(2) could be activated by undertaking assessment under Section 9(2) of the Central Sales Tax Act read with extant Rule 12(4) of the Central Sales Tax (Odisha) Rules, 1957 and the corresponding provisions of Section 43 of the OVAT Act. This apart, another condition to set provisions of Section 49(2) into motion is that "when any Court or Tribunal passes an order in appeal or revision". 8.10. Reading of Section 92 would suggest that the provisions therein enable the Commissioner, the Tribunal and any person appointed under sub-section (2) of Section 3 to assist the Commissioner to e....
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.... to adduce fresh evidence, whether oral or documentary before the Tribunal: Provided that- (a) if the authority, from whose order the appeal is preferred, has refused to admit evidence which ought to have been admitted; or (b) if any party including the Government seeking to adduce additional evidence, satisfies the Tribunal that such evidence, notwithstanding the exercise of due diligence was not within its knowledge or could not be produced by it at or before the time, when the order under appeal was passed; or (c) if the Tribunal requires any documents to be produced or any witness to be examined for enabling itself to pass order, the Tribunal may allow such evidence or document to be produced or witness to be examined and in such case, the other party shall be entitled to produce rebutting evidence, if any. (2) When fresh evidence has been adduced, the parties may, if they so desire address the Tribunal on points arising out of such fresh evidence. 8.12. Though the Commissioner of Sales Tax has been vested with power of revision suo motu under Section 79(1) or on application being submitted under 79(2), such power is confined to revise any....
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....the purpose of making assessment under Section 43 of the OVAT Act on the basis of the report submitted by the Special Investigation Team after affording reasonable opportunity of hearing to the petitioner. However, in Jindal Stainless Ltd. Vrs. State of Odisha, (2012) 54 VST 1 (Ori) it has been held that "conjoint reading of Section 41(4) of the OVAT Act and Rule 45(3) of the OVAT Rules makes it clear that after completion of the tax audit of any dealer, the officer in-charge authorised to conduct such audit shall within seven days from the date of completion of the audit submit the audit visit report in Form VAT-303 to the Assessing Authority". It is manifest from the AVR in Form VAT-303 reveals that the audit team comprising the Deputy Commissioner of Sales Tax, Jagatsinghpur Circle, Paradeep and an Assistant Sales Tax Officer visited the business premise of the petitioner for conducting tax audit on 17.12.2013; but the AVR has been prepared on 31.03.2016. The assessment order dated 10.02.2017 passed under Section 43 proceeded on the basis that "The AVR in case of the above named dealer-company for the tax periods from 01.04.2010 to 31.03.2013 was received from the Deputy Commiss....
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....eam of the Cuttack-II Range comprising the Deputy Commissioner of Sales Tax and Assistant Sales Tax Officer with prior notice in Form VAT-301 for the purpose of Tax Audit." 8.18. As is manifest from the above, the audit process started prior to amendment of Section 41 and Section 42 by virtue of the Odisha Value Added Tax (Amendment) Act, 2015. In exercise of power conferred on the State Government in Section 1 of the said Amendment Act, 2015, Government of Odisha in Finance Department vide Notification No.28080-FIN-CT1-TAX-0017-2013-F. (SRO No.490/2015), dated 19.10.2015, published in the Odisha Gazette Extraordinary No. 1481, dated 19.10.2015 appointed 01.10.2015 as the date on which said Amendment Act came into force. In the context where the Legislature vested the power on the State Government to appoint a date for giving effective date for operation of an Amendment Act, this Court in Bansapani Iron Ltd. Vrs. State of Odisha, 2016 (I) ILR-CUT 50 held as follows: "In the present case, the facts of the present case is distinct, inasmuch as, the Orissa Value Added Tax (Amendment) Act, 2007 did not itself declare the date from which the statute came into operation and l....
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....ions of Section 41 and Section 42 of the OVAT Act as on the date of issue of notice in Form VAT-301 prescribed under Rule 41 of the OVAT Rules for undertaking audit of the business of the petitioner, i.e., 17.12.2013: "41. Identification of tax payers for tax audit.- (1) The Commissioner may select such individual dealers or class of dealers for tax audit on random basis or on the basis of risk analysis or on the basis of any other objective criteria, at such intervals or in such audit cycle, as may be prescribed. (2) After identification of individual dealers or class of dealers for tax audit under sub-section (1), the Commissioner shall direct that tax audit in respect of such individual dealers or class of dealers be conducted in accordance with the audit programme approved by him : Provided that the Commissioner may direct tax audit in respect of any individual dealer or class of dealers on out of turn basis or for more than once in an audit cycle to prevent evasion of tax and ensure proper tax compliance. (3) Tax audit shall ordinarily be conducted in the prescribed manner in the business premises or office or godown or warehouse or....
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....ub-section (1), produces the books of account and other documents, the Assessing Authority may, after examining all the materials as available with him in the record and those produced by the dealer and after causing such other enquiry as he deems necessary, assess the tax due from that dealer accordingly. (5) Without prejudice to any penalty or interest that may have been levied under any provision of this Act, an amount equal to twice the amount of tax assessed under sub-section (3) or sub-section (4) shall be imposed by way of penalty in respect of any assessment completed under the said sub-sections. (6) Notwithstanding anything contained to the contrary in any provision under this Act, an assessment under this section shall be completed within a period of six months from the date of service of notice issued under sub-section (1) along with the Audit Visit Report: Provided that if, for any reason, the assessment is not completed within the time specified in this sub-section, the Commissioner may, on the merit of each such case, allow such further time not exceeding six months for completion of the assessment proceeding. (7) No order of assess....
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....f the statutory provision contained in Section 41(4) since there is a time-limit prescribed for submission of audit visit report and the same has not been complied with. Therefore, the said audit visit report has no validity. It is unfortunate that while under OVAT Act Section 41(4) provides for submission of audit visit report within seven days from the date of audit and Audit Assessment is to be completed within six months from the date of receipt of AVR by the Assessing Authority, the action of the authorised officer in submitting the AVR to the Assessing Authority after six months from the date of audit visit not only violates the statutory provisions contained in section 41(4) but also is against the scheme and spirit of audit visit and Audit Assessment provided under the OVAT Act." 8.22. Said interpretation of Section 41(4) vis-a-vis Section 42 has been referred to Larger Bench in the case of Pal Construction Vrs. Assessing Authority, W.P.(C) No.16957 of 2009, vide Order dated 20.10.2014, with the following question: On the above backdrop, the following question is referred to the Larger Bench: Whether non-submission of Audit Visit Report to the ....
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....es? There is no constitutional or statutory prescription in the matter, and the point is governed entirely by the practice in India of the Courts sanctified by repeated affirmation over a century of time. It cannot be doubted that in order to promote consistency and certainty in the law laid down by a superior Court, the ideal condition would be that the entire Court should sit in all cases to decide questions of law, and for that reason the Supreme Court of the United States does so. But having regard to the volume of work demanding the attention of the Court, it has been found necessary in India as a general rule of practice and convenience that the Court should sit in Divisions, each Division being constituted of Judges whose number may be determined by the exigencies of judicial need, by the nature of the case including any statutory mandate relative thereto, and by such other considerations which the Chief Justice, in whom such authority devolves by convention, may find most appropriate. It is in order to guard against the possibility of inconsistent decisions on points of law by different Division Benches that the rule has been evolved, in order to promote consistency and cer....
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....spired (as has already been quoted from AVR hereinabove) that the business premise of the petitioner being visited by audit team on 17.12.2013, books of account and necessary and relevant documents were verified (as apparent from serial No.12 of the AVR). This apart, on the said date of visit, statement of authorised signatory on solemn affirmation was also recorded. The AVR was prepared and signed on 31.03.2016. It is recommended at serial No.15 therein that "In view of the above discussions, Audit Assessment proceedings under Section 42 of the OVAT Act, 2004 may be initiated against the instant dealer for the tax periods from 01.04.2010 to 31.03.2013". No material is placed on record by the Standing Counsel to suggest that the process of audit continued after 17.12.2013 till it is signed on 31.03.2016. No explanation for such an inordinate period of delay is proffered by the Revenue. The assessment order dated 10.02.2017 revealed that the AVR was utilised in the assessment under Section 43, which was set aside by the Appellate Authority with observation that there has been error in exercise of jurisdiction vide Order dated 19.10.2023. This conduct of the Assessing Authority indic....
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.... basis of such invalid AVR in terms of ratio laid down in Jindal Stainless Ltd. Vrs. State of Odisha, (2012) 54 VST 1 (Ori), the Assessing Authority proceeded to consider such AVR while proceeding with assessment under Section 43. In such view of the matter, after the limitation had already set in for the purpose of initiation of proceeding under Section 42, by way of subterfuge stemming on provisions of Section 49(2) the Assessing Authority is not competent to initiate assessment proceeding under Section 42. 8.26. In Mohinder Singh Gill Vrs. Chief Election Commission, (1978) 2 SCR 272 = (1978) 1 SCC 405 it has been stated as follows: "We may here draw attention to the observations of Bose J. in Commissioner of Police Vrs. Gordhandas Bhanji, AIR 1952 SC 16 = 1952 SCR 135: 'Public orders, publicly made, in exercise of a statutory authority cannot be construed in the light of explanations subsequently given by the officer making the order of what he meant, or of what was in his mind, or what he intended to do. Public orders made by public authorities are meant to have public effect and are intended to effect the actings and conduct of those to whom they ....
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....ir Singh Vrs. Ranbir Singh, (1979) 1 SCC 560 = AIR 1979 SC 381, M.C. Mehta Vrs. Kamal Nath, (2000) 6 SCC 213 = AIR 2000 SC 1997 and Sant Lal Gupta Vrs. Modern Coop. Group Housing Society Ltd., (2010) 13 SCC 336).' B) In Jagir Singh Vrs. Ranbir Singh, (1979) 1 SCC 560 as under: '5. In order to cross the hurdle imposed by Section 397(3) it was suggested that the revision application before the High Court could be treated as an application directed against the order of the Sessions Judge instead of as one directed against the order of the Magistrate. We do not think that it is permissible to do so. What may not be done directly cannot be allowed to be done indirectly; that would be an evasion of the statute. It is a "well-known principle of law that the provisions of an Act of Parliament shall not be evaded by shift or contrivance" (per Abbot, C.J. in Fox v. Bishop of Chester). "To carry out effectually the object of a statute, it must be construed as to defeat all attempts to do, or avoid doing, in an indirect or circuitous manner that which it has prohibited or enjoined." (Maxwell, 11th Edn., p. 109). When the Sessions Judge refused to interfere with the order of t....
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....re part of the Act. 14. That is the clear statutory dispensation. 15. While the court is scrutinising the exercise of power by the authorities under Section 12(8) of the OST Act, the entire gamut of statutory provisions contained in the Rules and the forms are to be kept in its mind. It cannot be said and in fact it has not been said by the Revenue that any part of statutory rules and forms is redundant or that the power under section 12(8) of the OST Act can be exercised ignoring the Rules and the statutory forms. In fact, it was not so exercised and the impugned notice was issued under the statutory form, the relevant part of which has been set out previously." 8.31. In CIT Vrs. Kurban Hussain Ibrahimji Mithiborwala, (1972) 4 SCC 394 significance of issue of valid notice for assessment has been spelt out by the Hon'ble Supreme Court of India in the following lines: "It is well-settled that the Income Tax Officer's jurisdiction to reopen an assessment under Section 34 depends upon the issuance of a valid notice. If the notice issued by him is invalid for any reason the entire proceedings taken by him would become void for want of jurisdiction. In the ....
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....e in Form VAT-306 in obedience of direction of the Appellate Authority, which cannot be called in question by the petitioner-assessee. 9.1. Careful reading of whole of the provisions contained in Section 98 would indicate that service of notice, order or communication could not be called in question if notice, order or communication has been acted upon by the petitioner-dealer. In the present case as record demonstrates that the petitioner has raised objection as to issue of such notice [See, "Memorandum of Submission" dated 10.01.2025 (Annexure-11)] before the Joint Commissioner of Sales Tax, CT & GST Circle, Jagatsinghpur, Paradeep (Assessing Authority). The authority merely stated that on the direction of the Appellate Authority he has issued notice for assessment in Form VAT-306 in order to comply with the appellate order. Therefore, the plea set up by way of written note of submission dated 19.08.2025 by the Revenue is inconceivable inasmuch as the authorities should have examined whether as a result of tax audit, AVR submitted beyond the period stipulated under Section 41(4), proceeding under Section 42 can be initiated by issue of statutory notice on remand by the A....
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....tion of this Hon'ble Court: '9. Deputy Commissioner of Labour (Appeals), Madras, which is the Authority constituted under the Tamil Nadu Shops and Establishments Act, 1947 has the jurisdiction to adjudicate upon an order by which the services of an employee are terminated. He has the jurisdiction to decide whether the order of dismissal, passed by the employer, was valid or it was passed in violation of any statutory rule or principles of natural justice. Under Section 41(3), the order passed by him is binding on the employer as also on the employee. Thus, the Deputy Commissioner of Labour (Appeals) may not be a 'Civil Court' within the meaning of the Code of Civil Procedure but it is definitely a 'Court'.' ***" 10.1. In Union Of India Vrs. Arulmozhi Iniarasu, AIR 2011 SC 2731 it has succinctly been laid down that, "Before examining the first limb of the question, formulated above, it would be instructive to note, as a preface, the well settled principle of law in the matter of applying precedents that the Court should not place reliance on decisions without discussing as to how the fact situation of the case before it fits in with the fact situation o....
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..... The question that fell for consideration before the Hon'ble Supreme Court of India that when the appeal before the Deputy Commissioner of Labour (Appeals) was within time, the period taken from the date of institution of appeal till its dismissal on the ground that the appeal under the Tamil Nadu Shops and Establishments Act, 1947 pertaining to service matter was incompetent qua nationalised banks is entitled to be excluded for the purpose of filing suit in view of Section 14 of the Limitation Act. The Hon'ble Supreme Court of India in the said reported judgment held as follows: "12. It will be noticed that Section 14 of the Limitation Act does not speak of a 'Civil Court' but speaks only of a 'Court'. It is not necessary that the court spoken of in Section 14 should be a 'Civil Court'. Any authority or Tribunal having the trappings of a court would be a 'Court' within the meaning of this section. *** 15. Applying the above principles in the instant case, we are of the opinion that the Deputy Commissioner of Labour (Appeals), which was an Authority constituted under Section 41(2) of the Tamil Nadu Shops and Establishments Act, 1947 to hear and decide ap....
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....of the OVAT Rules which deals with provisions of appeal and appellate authorities. 10.8. To discern nuance of the term 'Court' a reference to North Eastern Chemicals Industries (P) Ltd. Vrs. Ashok Paper Mill (Assam) Ltd., (2023) 15 SCR 821 would be beneficial. In the said case, it has been observed that: "8. The term 'Court' is not defined under the Code. What it does define is a decree and an order in Section 2(2) and Section 2(14) respectively. *** 9. The Indian Evidence Act, 1872 defines the word 'Courts' as under: '3. *** "Court".-- "Court" includes all Judges and Magistrates, and all persons, except arbitrators, legally authorised to take evidence.' However, this Court in State of M.P. Vrs. Anshuman Shukla, (2008) 7 SCC 487 while referring to a judgment of the Calcutta High Court [Empress Vrs. Ashootosh Chuckerbutty, ILR (1879-80) 4 Cal 483] observed that the definition under the said Act is not exhaustive, but all authorities authorized to take evidence must be held to be courts under the meaning of said provision. 10. In P. Sarathy Vrs. SBI, (2000) 5 SCC 355 this Court has observed: '13. The Court referred to the earli....
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....tion of Section 47 thereof appears to be to attract the provisions of the Code. In Ramasami Pillai (supra), it was held that by virtue of Section 54, the procedure in its entirety set out in the code to govern appeals, was made applicable to the Land Acquisition Act. Similar to the above said decisions of the High Courts this Court in the said decision was also dealing with a statute which expressly made applicable [Section 90 of Representation of Peoples Act, 1951], the provisions of the code. The holding, therefore, is that appeals provided for in special statutes that are governed by the Code, can be said to be appeals under the Code for the purposes of Article 116 of the Limitation Act. 14. We may now refer to Section 22(6) of the Jogighopa Act which deals with the powers vested in the Commissioner under the Act. The relevant portion of which reads as under: '(6) The Commissioner shall have the power to regulate his own procedure in all matters arising out of the discharge of his functions, including the place or places at which he will hold his sittings and shall, for the purpose of making an investigation under this Act, have the same powers as are vested in....
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....l not be bound by the procedures under CPC, and can regulate its own procedures in accordance with natural justice.' 18. Therefore, it is clear from the above extracted decision that the vesting of select few powers upon a Tribunal, or as in the present case, a statutory authority, does not equate the same to be a Court within the meaning of the Code. It is also noteworthy that Section 22(6) states "the Commissioner shall have the power to regulation his own procedure in all matters arising out of the discharge of his functions including the place or places at which he will hold his sittings; This also supports the proposition that the Code does not apply to the proceedings of the Commissioner." 10.9. The Hon'ble Supreme Court of India in answering the question whether the Commissioner while hearing the appeal under Section 69 of the Hindu Religious Endowment Charitable Act, 1959, is a "Court" held in Ganesan Vrs. The Commissioner, The Tamil Nadu Hindu Religious and Charitable Endowments Board, (2019) 7 SCR 102 as follows: "13. The definition of the Court refers to the Civil Court constituted by Legislature in the State for administration of justice. The conven....
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.... under the statutory scheme of Act, 1959. We, thus, conclude that Commissioner is not a Court within the meaning of Act, 1959. 18. We may, however, notice a judgment of this Court in P. Sarathy Vrs. State of Bank of India, (2000) 5 SCC 355. In the above case Deputy Commissioner of Labour (Appeals) was an authority constituted under Section 41(2) of Tamil Nadu Shops and Establishments Act, 1947 to hear and decide appeal. The appellant, an official of the State Bank of India was removed by an order dated 11.01.1983 after holding regular departmental proceedings. The appellant had filed an appeal under Section 41(2) of the Tamil Nadu Shops and Establishments Act, 1947 which appeal was dismissed holding that provisions of Tamil Nadu Shops and Establishments Act, 1947 are not applicable to nationalized Banks. After the dismissal of the said appeal the orders of Deputy Commissioner of Labour (Appeals) dated 01.09.1987 was challenged in this Court which too are rejected. It was thereafter appellant instituted a regular suit in the City Civil Court where the question came for consideration regarding applicability of Section 14 of Limitation Act. In the above case in paragraph 3 th....
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....e Appellate Authority and the Judge (Revisions) Sales tax exercising jurisdiction under the Sales Tax Act, are "Courts". They are merely Administrative Tribunals and "not Courts". Section 14, Limitation Act, therefore, does not, in terms apply to proceedings before such Tribunals.' 21. There being three-Judge Bench judgment having held that Appellate Authority under U.P. Sales Tax Act is not a Court, we are not persuaded to follow the judgment of two-Judge Bench in P. Sarthy (supra)." 10.10. It is, thus, necessary to have regard to observations made by a three-Judge Bench decision of the Hon'ble Supreme Court of India in Jagannath Prasad Vrs. State of U.P., (1963) 2 SCR 850, which is to the following effect: "It is no defence to say that the appellants were asked by the Sales Tax Officer to produce invoices. The appellants were trying to get exclusion from their turnover of the sale of goods worth about Rs.3 lacs and had made statements before the Sales Tax Officer in regard to it on July 9, 1951, and in order to prove that the goods were not required to be included in the turnover the invoices were produced by appellant-Jagannath Prasad. When a fact has to be ....
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....it hears witnesses on oath. 3. Nor because two or more contending parties appear before it between whom it has to decide. 4. Nor because it gives decisions which affect the rights of subjects. 5. Nor because there is an appeal to a Court. 6. Nor because it is a body to which a matter is referred by another body. See Rex Vrs. Electricity Commissioners, (1924) 1 KB 171.' Hidayatullah, J., in Shrimathi Ujjam Bai's case, AIR 1962 SC 1621 described Sales Tax Authorities thus: 'The taxing authorities are instrumentalities of the State. They are not a part of the Legislature, nor are they a part of the judiciary. Their functions are the assessment and collection, of taxes, and in the process of assessing taxes, they have to follow a pattern of action, which is considered judicial. They are not thereby converted into Courts of civil judicature. They still remain the instrumentalities of the State and are within the definition of 'State' in Article 12.' No doubt the Sales Tax Officers have certain powers which are similar to the powers exercised by Courts but still they are not Courts as understood in section 195 of the Criminal....
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....fficer is not a Court. In Krishna Vrs. Goverdhanaiah, AIR 1954 Mad 822, it was held that the Income-tax Officer is not a Court within the meaning of Section 195 of the Criminal Procedure Code and this view was accepted by this Court in Shrimati Ujjam Bai's case, AIR 1962 SC 1621. In Brajnandan Sinha Vrs. Jyoti Narain, (1955) 2 SCR 955, a Commissioner appointed under the Public Enquiries Act, 1950, was held not to be a Court. Shell Co. of Australia Vrs. Federal Commissioner of Taxation, (1931) A.C. 275 was referred to in that case. At page 967 the following passage from Halsbury's Laws of England, Hailsham Edition, Volume 8, page 526 was approved: 'Many bodies are not Courts, although they have to decide questions, and in so doing have to act judicially, in the sense that the proceedings must be conducted with fairness and impartiality, such as assessment committees, guardians committees, the Court of referee constituted under the Unemployment Insurance Acts to decide claims made on the Insurance Funds, the benchers of the Inns of Courts when considering the conduct of one of their members, the General Medical Council, when considering questions affecting the position of a ....
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....use there was no lis before him. There is one passage in the judgment of Sundara Ayyar, J., at p. 86 which is of significance. It was said: 'I may observe that I am prepared to agree with Dr. Swaminathan that mere authority to receive evidence would not make the officer recording it a Court.' At page 84, it was said that the determination of the assessment in the first instance may not be of a Court although the assessing officer may have the power to record statements. But an appeal against the assessment is dealt with by the Collector in the manner in which an appeal is disposed of by a Civil Court. In this connection reference may be made to the statement of the law contained in the judgment of Venkatarama Ayyar, J., in Shri Virindar Kumar Satyawadi Vrs. The State of Punjab, (1955) 2 SCR 1013 (1018). There the distinction between a quasi-judicial tribunal and a Court was given as follows: 'It may be stated broadly that what distinguishes a Court from a quasi-judicial tribunal is that it is charged with a duty to decide disputes in a judicial manner and declare the rights of parties in a definitive judgment. To decide in a judicial manner involves that ....
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....t, as it must be, the Income Tax Officer also must be held to be not a Court- unless any different conclusion is justified from the provisions of Section 37(4) of the Act. 26. It will not be out of place to mention here what the Constitution Bench of this Court said in Jaswant Sugar Mills Vrs. Lakshmi Chand, AIR 1963 SC 677 as regards the nature of the functions of Income Tax Officers. The question for the Court's decision in that case was whether a Conciliation Officer under clause 29 of the Government Order under Sections 3 and 8 of the U.P. Industrial Disputes Act was a "Tribunal" within the meaning of Article 136 of the Constitution and the Court held that it was not such a tribunal. As illustrations of other authorities whose primary function is administrative even though they have the duty to act judicially, Shah, J. speaking for the Court said: 'The duty to act judicially imposed upon an authority by statute does not necessarily clothe the authority with the judicial power of the State. Even administrative or executive authorities are often by virtue of their constitution, required to act judicially in dealing with question affecting the rights of citizens.....
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....adesh (Telangana Area) Tenancy And Agricultural Lands Act, 1950] not being a Court, the Limitation Act, as such, had no applicability to the proceedings before him." 10.14. In Nahar Industrial Enterprises Ltd. Vr. Hong Kong Shanghai Banking Corporation, (2009) 8 SCC 646, it has been succinctly stated that: "67. The terms "Tribunal", "Court" and the "Civil Court" have been used in the Code differently. All "Courts" are "Tribunals" but all "Tribunals" are not "Courts". Similarly all "Civil Courts" are "Courts" but all "Courts" are not "Civil Courts." It is not much in dispute that the broad distinction between a "Court" and a "Tribunal" is whereas the decision of the "Court" is final the decision of the "Tribunal" may not be. The "Tribunal", however, which is authorised to take evidence of witnesses would ordinarily be held to be a "Court" within the meaning of Section 3 of the Evidence Act, 1872. It includes not only Judges and Magistrates but also persons, except arbitrators, legally authorised to take evidence. It is an inclusive definition. There may be other forums which would also come within the purview of the said definition. *** 73. We may, howe....
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.... under the whole Code, be it Civil or Criminal. However, in a regular Court, the said Codes, in their entirety, civil as well as criminal, must be strictly adhered to. Therefore, from the above, it is evident that the terms 'Court' and 'Tribunal' are not inter-changeable. A Tribunal may not necessarily be a Court, in spite of the fact that it may be presided over by a judicial officer, as other qualified persons may also possibly be appointed to perform such duty. One of the tests to determine whether a tribunal is a Court or not, is to check whether the High Court has revisional jurisdiction so far as the judgments and orders passed by the Tribunal are concerned. Supervisory or revisional jurisdiction is considered to be a power vesting in any superior Court or Tribunal, enabling it to satisfy itself as regards the correctness of the orders of the inferior Tribunal. This is the basic difference between appellate and supervisory jurisdiction. Appellate jurisdiction confers a right upon the aggrieved person to complain in the prescribed manner, to a higher forum whereas, supervisory/revisional power has a different object and purpose altogether as it confers the right and r....
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....ecision of the said authority is a quasi-judicial decision. An authority may be described as a quasi-judicial authority when it possesses certain attributes or trappings of a 'Court', but not all. In case certain powers under C.P.C. or Cr.P.C. have been conferred upon an authority, but it has not been entrusted with the judicial powers of the State, it cannot be held to be a Court." 10.16. The following observations made by the Hon'ble Supreme Court of India (5-Judge Constitution Bench) with respect to Court vis-a-vis Tribunal in the case of Associated Cement Companies Ltd. Vrs. P.N. Sharma, (1965) 2 SCR 366 may not be out of place in the present context: "The question which we have to decide in the present appeal is whether the State Government is a Tribunal when it exercises its authority under Rule 6(5) or Rule 6(6). No rules have been made prescribing the procedure which the State Government should follow in dealing with appeals under these two sub-rules, and there is no statutory provision conferring on the State Government any specific powers which are usually associated with the trial in Courts and which are intended to help the Court in reaching its dec....
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..... So has Appellate Authority in a second appeal. We may also point out that when an Appellate Authority is considering a second appeal a 'first appellate' order, it is examining an order which can be broadly described as an order of assessment. It is a final order disposing of an appeal which, in a sense, is a continuation of the assessment. A second appeal against such an order is an appeal against an order of assessment." 10.18. A reference may be made to P. Giribabu Vrs. Deputy Director of Enforcement, (2010) 326 ITR 575 (Mad), wherein the following is quoted from V. Datchinamurthy Vrs. Assistant Director of Inspection, Income-tax, (1984) 149 ITR 341 (Mad): "It is thus manifest that there is great latitude allowed to the Income-tax Officer in the collection of materials and he does not act as a Court at that stage. There are no two parties before him, and the procedure in the adversary system of proceedings cannot be applied to him. However, the Income-tax Officer, before he uses the materials so collected, is bound to give the necessary opportunity to the assessee to test the evidence, to adduce any evidence in rebuttal and to explain the facts that appear against h....
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....tes of the jurisdiction of a tax Appellate Authority. These attributes underline the truth that the Appellate Authority is no different, functionally and substantially, from the Assessing Authority itself." 10.20. It is not the case of the Revenue that the order of "the Appellate Authority" can be construed to be the order of "the Tribunal". Rather it is strenuously argued by learned Standing Counsel that the "Appellate Authority" can be treated at par with that of a "Court" so that its order can emit flavour of order of the "Court". As is discernible from the above judgment in Associated Cement Companies Ltd. Vrs. P.N. Sharma, (1965) 2 SCR 366 that in order to construe an authority to be "Tribunal", there must be a lis; there must be affirmation by one party and denial by another, and the dispute necessarily involves the rights and obligations of the parties to it, analysing the scheme of the OVAT Act, 2004, it can be perceived indubitably that the Appellate Authority is coterminous with that of the Assessing Authority. The Appellate Authority has the power, necessary and essential to re-do the assessment, in accordance with the law enacted by the Legislature. An appeal is a co....
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....), as heavily relied on by Sri Sunil Mishra, learned Standing Counsel to bring home that the Appellate Authority in seisin of subject-matter under Section 77 can be said to be a "Court" for the purpose of initiation of action stemming on provisions of Section 49(2), does not assist the case of the Revenue to sustain exercise of power under Section 42 for conducting "Audit Assessment" in pursuance of submission of AVR dated 31.03.2016 under Section 41. 10.23. It would necessarily follow in view of Santoshi Tel Utpadak Kendra Vrs. Deputy Commissioner of Sales Tax, (1982) 1 SCR 97 and DCST Vrs. Abdul Salam, (1988) 69 STC 144 (Ker) and from discussion in preceding paragraphs that before the "Appellate Authority" no adversarial system adjudication process is put in place; it is at the stage of "Tribunal" the assessee and the Commissioner of Sales Tax (Revenue) are the parties and the Tribunal, being not subordinate authority as enumerated under Rule 3 of the OVAT Rules, acts as independent quasi-judicial body having separate powers enshrined in the OVAT Act and Rules framed thereunder. 10.24. Had the legislative intent been to include order passed in appeal by the Appellate Author....
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....ower to delegate his powers and functions on such persons appointed under Section 3(2). The expression "Sales Tax Authority" is defined under Rule 2(n) to mean "any person appointed under Section 3 of the Act to assist the Commissioner under any designation as prescribed under Rule 3". However, Section 4 deals with the Sales Tax Tribunal and its functions. While Rule 86 read with Rule 87 prescribes manner of "appeals to the Appellate Authority" and "submission of appeal petition", Rule 93 deals separately with respect to "Second appeal under Section 78" and Rule 94 specifies modalities regarding "presentation of appeals" by person/dealer and the Government represented by the Commissioner of Sales Tax. On filing appeal, scope for filing cross-objection is given to the respondent under Rule 98. The Tribunal has the occasion to dispose of the cross-objection as cross-appeal. Separate sets of modalities are prescribed for proceeding with the hearing of the appeals before the Appellate Authority in Rules 88 to 92 and the Tribunal in Rules 95 to 117. 11.2. A definition of a term in the statute has to be read as it stands without either importing anything therein or removing any part o....
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....n the dictionary clause would be what it is "unless the context otherwise requires". Justice G. P. Singh in his Treatise "Principles of Statutory Interpretation" (11th Edition, 2008) after reviewing scores of Supreme Court judgments comments as follows: 'When a word has been defined in the interpretation clause, prima facie that definition governs whenever that word is used in the body of the statute ... but where the context makes the definition given in the interpretation clause inapplicable, a defined word when used in the body of the statute may have to be given a meaning different from that contained in the interpretation clause; all definitions given in an interpretation clause are therefore normally enacted subject to the qualification- 'unless there is anything repugnant in the subject or context', or 'unless the context otherwise requires'. Even in the absence of an express qualification to that effect such a qualification is always implied. However, it is incumbent on those who contend that the definition given in the interpretation clause does not apply to a particular section to show that the context in fact so requires. ... Repugnancy of a definition arises on....
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....se requires' which indicates that the definitions, as for example, that of 'family', which are indicated to be conclusive may not be treated to be conclusive if it was otherwise required by the context. This implies that a definition, like any other word in a statute, has to be read in the light of the context and scheme of the Act as also the object for which the Act was made by the Legislature. ... While interpreting a definition, it has to be borne in mind that the interpretation placed on it should not only be not repugnant to the context, it should also be such as would aid the achievement of the purpose which is sought to be served by the Act. A construction which would defeat or was likely to defeat the purpose of the Act has to be ignored and not accepted.' ***" 11.5. In S.K. Gupta Vrs. K.P. Jain, (1979) 3 SCC 54 it is found mentioned that: "The noticeable feature of this definition is that it is an inclusive definition and, where in a definition clause, the word "include" is used, it is so done in order to enlarge the meaning of the words or phrases occurring in the body of the statute and when it is so used, these words or phrases must be construed as comprehe....
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.... appeal or revision" succeeding "any Court or Tribunal" in Section 49(2) has to be given restrictive meaning and the term "Appellate Authority", coterminous with the Assessing Authority, cannot be read into such expression to say that such authority can be equated with "Court". 11.7. If the Legislature intended that the Appellate Authority, for the purpose of Section 49(2) is the one authorized by the Commissioner it ought to have placed there. It is not so. Indeed the paramount power to assign powers and functions to all of the Officers under the OVAT Act vests in the Government and the Commissioner of Sales Tax only derives powers to delegate under the Section 5 read with Section 3 read with Rule 3. When once the Officers are prescribed, it is for the Commissioner of Sales Tax, by promulgating notification assign powers and functions on the authorities. The provisions of statute along with Rules framed thereunder clearly envisage "the Appellate Authority" distinguished from "the Tribunal". The authorities before whom appeal would lay assailing orders passed under Section 34, 40, 42, 43, 44, 45, 49 or 52 have been prescribed under Section 77 read with Rule 86; whereas second ap....
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....lidity by efflux of time. This is what conspicuously agitated by the writ petitioner. 12.2. A minute scrutiny of Section 49(2) would indicate that the assessment or reassessment of tax can be permissible when a Court or a Tribunal determines that tax was initially assessed under the wrong law. To amplify it can be stated that transactions amenable to the Central Sales Tax Act has been fastened with liability under the OVAT Act. This provision aims to ensure that the correct tax is ultimately levied, even if the initial assessment was flawed in its legal basis. But said provision does not engulf a contingency when intra-State transactions are assessed in exercise of power under a wrong provision, i.e., Section 43. To clarify further, it is apposite to say that at a later point of time on being pointed out that Section 42 should have been initiated for the purpose of Audit Assessment read with Rule 49, the provisions of Section 49(2) could not be activated. There is no explicit provision contained in the OVAT Act to suggest that the exercise of power under Section 42 and Section 43 are inter-changeable. 12.3. Provisions of sub-section (1) of Section 42 vis-a-vis sub-section (1)....
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.... 13. The analysis and discussions above made following conclusions inter alia are deduced: i. The term "Appellate Authority" defined under clause (1-d) of Section 2 of the Odisha Value Added Tax Act, 2004 cannot be equated as "Court" for the purpose of Section 49(2) thereof. Having not expressly provided for in Section 49(2) in juxtaposition with "any Court or Tribunal passes an order in appeal or revision", the order passed by the Appellate Authority in exercise of power under Section 77 of the OVAT Act cannot be said to be comprehended within the ken of said section. ii. The words "any Court or Tribunal" preceding the expression "an order in appeal or revision" can only be construed as an order of the Tribunal passed under Section 78 and an order of the Court passed under Section 80 on the question of law arising out order passed under Section 78 by the Sales Tax Tribunal. In view of the express language employed in Section 49(2), order in revision by the Commissioner of Sales Tax or his delegatee (subordinate to him as enumerated in Rule 3) cannot be said to have been comprehended within the ken of Section 49(2) of the OVAT Act. iii. Section 49(2) of....
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....s, adhering to provisions of Section 49(2) of the OVAT Act issue of notice dated 01.05.2024 in Form VAT-306 prescribed under Rule 49 purportedly to comply with the appellate order, the Audit Assessment initiated under Section 42 as a result of circumstances enumerated in the AVR dated 31.03.2016 required to be submitted in terms of Section 41 cannot be countenanced being unsustainable in the eye of law. In consequence thereof, the Audit Assessment Order dated 21.03.2025, sans legal sanctity, is liable to be quashed, and this Court hereby does so. 16. In the result, having found serious flaw in application of statutory provisions to the facts of the present case, the notice dated 01.05.2024 in Form VAT-306 and the Audit Assessment Order dated 21.03.2025 passed under Section 42 are quashed. 17. Accordingly, the writ petition is allowed and pending Interlocutory Application(s), if any, shall also stand disposed of accordingly, but in the circumstances there shall be no order as to cost. I agree. ---------------------- Notes: 1. The name of originally incorporated "IOT INFRASTRUCTURE AND ENERGY SERVICES LIMITED" has be....
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.... such assessment may be assessed or reassessed, as the case may be, to tax at any time within five years from the date of such order, notwithstanding the applicability of any period of limitation to such assessment or reassessment under this Act." 4. Provisions of Section 98 of the OVAT Act stood thus: "98. Assessment proceedings, etc. not to be invalid on certain grounds.- (1) No return, assessment, appeal, rectification, notice, summons or other proceedings accepted, made, issued or taken, or purported to have been accepted, made, issued or taken in pursuance of any of the provisions of this Act shall be invalid or deemed to be invalid merely by reason of any mistake, defect or omission in such return, assessment, appeal, rectification, notice, summons or other proceedings, if such return, assessment, appeal, rectification, notice or other proceedings are, in substance and effect, in conformity with or according to the intents, purposes and requirements of this Act. (2) The service of any notice, order or communication shall not be called in question if the notice, order or communication, as the case may be, has already been acted upon by the dealer ....
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....n at or in the earliest proceedings commenced, continued or finalised pursuant to such notice, order or communication. (3) No order, including an order of assessment, revision or rectification passed by any authority under any provision of this Act shall be invalid merely on the grounds that the action could also have been taken by any other authority under any other provision of this Act." 8. Section 41 of the Tamil Nadu Shops and Establishments Act, 1947 stands as follows: "41. Notice of dismissal.- (1) No employer shall dispense with the services of a person employed continuously for a period of not less than six months, except for a reasonable cause and without giving such person at least one months notice or wages in lieu of such notice, provided however, that such notice shall not be necessary where the services of such person are dispensed with on a charge of misconduct supported by satisfactory evidence recorded at an enquiry held for the purpose. (2) The person employed shall have a right to appeal to such authority and within such time as may be prescribed either on the ground that there was no reasonable cause for dispensing with hi....