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2014 (9) TMI 337 - HC - VAT and Sales TaxDisallowance or allowance of trade discount under the law - period of limitation in passing order of revision - Held that:- There is no reason to hold that a power of review had been exercised in view of a wrong section being quoted in the order. In his capacity as a superior authority, the Senior Joint Commissioner revised the order of the Assistant Commissioner. Such exercise of power was made in terms of the provisions of section 80, read with sub-rule (3) of rule 244 and rule 245 of the West Bengal Sales Tax Rules, 1995. The order of re-assessment passed on March 22, 2004 was revised on February 9, 2010. It is evident from the record itself that such power under section 80 of the West Bengal Sales Tax Act, 1994 read with rule 245 of the West Bengal Sales Tax Rules, 1995 had been exercised within the stipulated period of six years as prescribed in the proviso to rule 245 of the West Bengal Sales Tax Rules, 1995. The order of revision, therefore, cannot be called to be barred by limitation. The question of discount by way of credit notes was not dealt with in proper perspective by the assessing authority. The settled principle of trade discount was not at all applied in allowing the discount. It was an apparent mistake on the face of the record. There being glaring irregularity and illegality on the face of the order of reassessment passed by the Assistant Commissioner, it was modified in the order of revision passed by the Senior Joint Commissioner, Commercial Taxes, Corporate Division in suo motu revision Case No. SMR-17/CD/09-10. The Senior Joint Commissioner acted within the ambit of power under section 80 of Act, 1956 and sub-rule (3) of rule 244 and rule 245 of the West Bengal Sales Tax Rules, 1995. The law relating to trade discounts has also been properly discussed. The well reasoned judgment, therefore, does not call for any interference - Decided against assessee.
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