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1988 (7) TMI 376 - SC - VAT and Sales TaxWhether the purchase of pulses effected by the assessee prior to May 1, 1977, could be subjected to tax under section 3-D(2) of the Sales Tax Act? Whether a provision in statute or rule is mandatory or directory? Held that:- We are clearly of the opinion that the learned single Judge, while holding that the law contemplates and entitles the assessee to lead evidence to the satisfaction of the assessing authority had not correctly appreciated the mode of proof provided under the rules for rebutting the presumption in order to get benefit of tax exemption. The result of the aforesaid discussion is that sub-section (7)(a) of section 3-D of the Act is mandatory in nature and unless the proof is given, as required therein, it cannot be said that onus has been discharged and the assessee would not be entitled to exemption by examining other evidence. In conclusion we hold that the view taken by the sales tax authority does not suffer from any legal infirmity. The sales tax revision is accordingly dismissed but there shall be no order as to costs.
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