TMI Blog1992 (10) TMI 248X X X X Extracts X X X X X X X X Extracts X X X X ..... forms on March 10, 1988 and there is nothing to indicate that the time was sought by the assessee to produce further "C" forms. This order was made, in the absence of the petitioner and the petitioner's contention is that, he has no notice of the hearing date. 3.. Before the Appellate Tribunal, the assessee produced several "C" forms along with a memo which shows that the assessee produced 16 "C" forms. According to the assessee, these forms had to be obtained from the dealers at Kerala and there was some difficulty in getting these declarations from those dealers. But the Appellate Tribunal rejected the "C" forms on the ground that, in view of the proviso to section 8(4) of the Central Sales Tax Act, 1956, read with rule 12(7) of the Central. Sales Tax (Registration and Turnover) Rules, 1957, the assessee should have produced "C" forms before the assessing authority and if he could not produce the same, he should have sought time from the said authority to produce the forms. 4.. The learned counsel for the assessee contended before us that the Appellate Tribunal failed to exercise the power vested in the Appellate Tribunal under section 22, and that, the Appellate Tribunal had ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the case of the assessee. It is the said authority which initiates the case of the Revenue with reference to the particular facts of the case. Therefore, necessarily law requires the dealer to produce all the relevant materials before the said authority. The question whether the appellate authority should entertain the declaration under the circumstances when the dealer could not produce the same before the assessing authority will have to be considered in the light of the powers of the appellate authority. If the appellate power is a limited power then entertainment of the documents filed by the assessee will depend upon the scope of the said limited power. However, if the appellate power is not restricted in any manner, the said power will be as wide as the power that could be exercised by the assessing authority. Generally stated, the appellate power is co-extensive with the power of the original authority. Section 20 provides for the first appeal. The scope of the appellate power is found in section 20(5). The appellate authority may confirm, reduce, enhance or annul the assessment, or direct the assessing authority to make further enquiry, or pass such order as it may think ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The decision of this Court in C. Govindaswamy v. State of Mysore [1963] 14 STC 65 explains the scope of the Appellate Tribunal's power. At pages 66-67, it observes thus: "The expression 'pass such orders thereon as it thinks fit' is an expression of wide import. An order of remand can be properly brought within that expression. We see no reason why these words should be construed narrowly. In fact, if a narrow construction is placed on these words, it may work to the prejudice of the assessees in a large number of cases. There may be occasions when a total remand may be required in the interest of justice." In an appropriate case, if the Appellate Tribunal finds that the assessee was prevented, due to sufficient cause, from producing material evidence, it is always open to the Appellate Tribunal to entertain the same and if necessary may remand the matter to the assessing authority. In fact, regulation 36 of the Karnataka Appellate Tribunal Regulations provides for such a procedure and recognises the power in the Appellate Tribunal to entertain additional evidence. This apart, second appeal before the Appellate Tribunal is nothing but continuation of the assessment proceedings, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ressed before us by Mr. Dattu. The relevant observation of the Full Bench on the construction of rule 12(7) reads thus: "Two minor points of construction which the learned Government Pleader placed before us in the course of his argument may be briefly noted and disposed of. While urging that an appellate authority could not possibly have been intended as one of the authorities invested with the power to grant further time for filing C form declarations, the learned Government Pleader referred to the description of the assessing authority, as 'the first assessing authority' in the proviso to rule 12(7). The argument was that the term 'first' must be given due significance, and such significance can only be given by excluding the appellate authority and all other authorities from the purview of the power to extend the time. We do not think that the inclusion of the word 'first' in the phrase 'first assessing authority' leads to this result. We see nothing significant in the use of the epithet 'first' occurring before the words 'assessing authority'. If the intention of the draftsman were that the appellate authority and other authorities are to be severely excluded from the rule, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Products v. Commissioner of Sales Tax [1988] 69 STC 18 (MP). The observation in the said decision that the assessee could have filed the declaration in "C" form only before the prescribed authority has to be read in the context of the facts of the case. Sufficient opportunity had been given by the assessing authority to the assessee to produce "C" form. But the assessee did not avail of this opportunity. In these circumstances the attempt made by the assessee before the Appellate Tribunal to produce the documents was not successful and the High Court affirmed the order of the Tribunal. In the instant case, the assessee could not be present before the appellate authority, because he had not received the notice of hearing and the hearing was fixed at Madikere. Before the Appellate Tribunal, the assessee filed the declarations in "C" forms. The Tribunal has not considered the circumstances under which the petitioner could not produce the forms earlier. Question of sufficiency of the cause was not at all considered. In the circumstances, the question whether the assessee-petitioner had sufficient cause for the belated production of "C" forms will have to be considered and only therea ..... 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