TMI Blog1977 (7) TMI 107X X X X Extracts X X X X X X X X Extracts X X X X ..... x Act, 1963 (hereinafter called the Act), amounts to a direction to assess escaped income. 2.. The taxable turnover of the assessee was determined by the Sales Tax Officer at Rs. 48,456.87 for the year 1966-67, Rs. 1,70,730.70 for the year 1967-68 and Rs. 75,036.45 for the year 1968-69. When the assessment records were examined by the Deputy Commissioner, North Zone, Kozhikode, he found that the Sales Tax Officer had wrongly exempted the entire turnover of spare parts sold by the assessee to its sister concerns. In his order under section 35, the Deputy Commissioner stated that the assessee was entitled to claim exemption only in respect of goods which had already been subjected to a single point tax under the Act. He pointed out that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contended that this order is an infringement of the jurisdiction of the assessing authority under section 19 of the Act and it is unwarranted by section 35 under which it is purported to have been made. It is further contended that the proceedings initiated under the order are time-barred. 4.. The impugned order was made by the Deputy Commissioner by virtue of his suo motu revisional power under section 35. This section reads as follows: "35. Powers of revision of the Deputy Commissioner suo motu.-(1) The Deputy Commissioner may, of his own motion, call for and examine any order passed or proceedings recorded under this Act by the Inspecting Assistant Commissioner or any officer or authority of rank below that of an Inspecting Assistan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5 and section 19 operated in different fields. The Deputy Commissioner might, while exercising power under section 35, call for the records, and on examining them if he found that the order of the Sales Tax Officer was illegal, irregular or improper, direct a further investigation; but such fur. ther investigation could not interfere with the power of the Sales Tax Officer to assess escaped turnover. Counsel contends that these principles have been violated by the Deputy Commissioner by remitting the case to the assessing authority for the purpose of bringing to tax turnover which had escaped assessment. 5.. Section 19 of the Act deals with assessment of escaped turnover. It reads as follows: "19. Assessment of escaped turnover.-(1) Whe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... escaped turnover is distinct and different from the revisional power of the Deputy Commissioner under section 35. While the revisional power is restricted to the examination of the records for determining whether the order of assessment was according to law, the power to assess escaped turnover can be exercised In matters de hors the record of assessment proceedings. These two sections therefore relate to different jurisdictions and different matters. A valid order under the one is not an infringement of the power under the other: see State of Kerala v. M. Appukutty[1963] 14 S.T.C. 242 (S.C.)., Deputy Commissioner of Agricultural Income-tax and Sales Tax, Quilon v. Dhanalakshmi Vilas Cashew Co.[1969] 24 S.T.C. 491 (S.C.). and State of Kera ..... X X X X Extracts X X X X X X X X Extracts X X X X
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