TMI Blog1961 (9) TMI 56X X X X Extracts X X X X X X X X Extracts X X X X ..... t of large amounts, a revision of the assessment was undertaken. Notice was served upon the assessee on 15th March, 1957. Beyond asking for time, the assessee did not explain the transactions. As the revision of the assessment would be barred by time by 31st March, 1957, the assessing authority declined to grant any further time and fixed the net turnover at Rs. 6,57,092, that is, by the addition of a sum of Rs. four lakhs. The successive appeals to the Commercial Tax Officer and the Tribunal failed. Veerabadra Konar has now filed the present revision petition. The contentions that have been advanced by the learned counsel on behalf of the petitioner are that the firm was dissolved on 9th February, 1954, and intimation of dissolution wa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessment was served on the assessee on 6th April, 1957. The argument of the learned counsel is that it is the later date that should be regarded as the actual date on which the order of assessment was made. This argument is rested on the assumption that till the date of such service, there is always the possibility of an alteration being made in the order by the assessing authority and there could be no guarantee that the order was in fact made on 20th March, 1957, as it purports to have been made. We are not satisfied that this argument can be accepted. The assessee was definitely informed by the notice that the matter of the assessment would be proceeded with on 20th March, 1957. The order itself ex facie shows that the officer was aware ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the learned counsel for the department. There may arise different considerations in respect of the sum of Rs. 25,108, which represented the value of the drafts in the name of Paramasivam. We shall deal with that separately. But in so far as the two remaining amounts are concerned, there is no doubt that they represent the turnover of the business of the assessee's partnership. In respect of these two latter amounts, the case of the assessee is that the partnership was dissolved with effect from 9th February, 1954, and that intimation of this had even been given to the department. On and after that date, it is claimed there could be no assessment on the partnership. The learned counsel vehemently argues that the rules contain no provisions ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... king power to enable it to proceed with the assessment to tax all such businesses. According to the learned counsel, there is a lacuna in the rules which prevents a lawful assessment being made upon any partner of a dissolved partnership. We are not disposed to accept this argument. Rule 19 of the Madras General Sales Tax Rules provides for the registration as a dealer of every firm or company consisting of partners. The form of application has to be signed by all the partners. The rule concludes by stating that every partner shall be jointly and severally responsible for the payment of tax, fee or other amount leviable under the Act. Rule 20 provides that it a partnership is dissolved, every person who was a partner shall send a report o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... entity, it is not a juristic person and that the assessment could be validly made on the firm as representing the several partners thereof, a view which we have also expressed earlier. In the Bombay High Court also, in Bankatlal Badruka v. State of Bombay[1961] 12 S.T.C. 405., in a similar case, it was held that the firm was liable to pay tax in respect of the business carried on by it and as the assessment proceedings were started long before its dissolution, it could not be said that the officer acted wrongly or without jurisdiction in continuing the assessment proceedings and passing the final assessment order thereon. In that case, it appears that the dissolution of the firm was not intimated to the authorities in question. Though the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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