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2013 (12) TMI 159 - ALLAHABAD HIGH COURTValidity of Show cause notice – Re-assessment of escaped assessment - Denial of adjustment of sales tax on purchase of paddy – Held that:- S/s Gaya Deen Kailash Chand vs. State of UP & others [2013 (3) TMI 425 - ALLAHABAD HIGH COURT] - If the grounds are relevant and have a nexus with the formation of opinion regarding escaped assessment, the assessing authority would be clothed with jurisdiction to take action under the section - Whether the grounds are adequate or not is not a matter which would be gone into by the High Court or Supreme Court, for the sufficiency of the grounds which induced the assessing authority to act is not a justiciable issue - What can be challenged is the existence of the belief but not the sufficiency or reasons for the belief - At the same time, the belief must be held in good faith and should not be a mere pretence. M/s Aryaverth Chawal Udyog & Others Versus State of U.P. & Others [2008 (5) TMI 602 - ALLAHABAD HIGH COURT] - Initiation of re-assessment cannot be held to be invalid - There was no good ground to entertain the challenge inasmuch as the circular is only by way of clarification and does not take away the jurisdiction of assessing authority of re-assessment - No writ can be issued to prohibit a person to correct a legal mistake - A writ jurisdiction is meant for doing justice and not to perpetuate injustice or technicalities - the show cause notices proposing re-assessment of the escaped turnover issued under Section 21 (2) of the U.P. Trade Tax Act are valid – Decided against Petitioner.
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