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TMI Blog1973 (3) TMI 116X X X X Extracts X X X X X X X X Extracts X X X X ..... o. 2611, Civil Appeal No. 2612, Civil Appeal No. 2613, Civil Appeal No. 2614, Civil Appeal No. 2615, Civil Appeal No. 2616, Civil Appeal No. 2618, Civil Appeal No. 2619, Civil Appeal No. 2620, Civil Appeal No. 2621, Civil Appeal No. 2622, Civil Appeal No. 2623, Civil Appeal No. 2624, Civil Appeal No. 2625, Civil Appeal No. 2626, Civil Appeal No. 2627, Civil Appeal No. 2628, Civil Appeal No. 2629, Civil Appeal No. 2630, Civil Appeal No. 2631, Civil Appeal No. 2632, Civil Appeal No. 2634 of 1972, W.P. Nos. 3978 of 1970, W.P. Nos. 1003, W.P. Nos. 1004, W.P. Nos. 1005 of 1971, W.P. Nos. 5542, W.P. Nos. 6343, W.P. Nos. 6428, W.P. Nos. 6466, W.P. Nos. 6790, W.P. Nos. 6988, W.P. Nos. 7035, W.P. Nos. 7057, W.P. Nos. 5504, W.P. Nos. 5525, W.P. Nos. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ales Tax (Amendment) Act, 1969. The amendment in question came to be enacted under the following circumstances: The High Court of Mysore in Yaddalam Lakshminarasimhiah Setty and Sons v. State of Mysore [1962] 13 S.T.C. 583, held that under section 8(2) of the Central Sales Tax Act, 1956, prior to its amendment by Act 31 of 1958 a "sale" in the course of inter-State trade or commerce is to be taxed at the same rate and in the same manner as it would have been taxed, under the appropriate State law, if it had been an intra- State transaction but without taking into consideration the minimum turnover fixed by the State law for the purpose of determining the liability of the "dealer" to be assessed under the State sales tax law. It further hel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... said amendments, the dealer shall not be liable to pay any tax under the principal Act, as amended by this Act, in respect of such sale or such part of the turnover relating to such sale." Sub-section (2) of section 10 provided: "For the purposes of sub-section (1), the burden of proving that no tax was collected under the principal Act in respect of any sale referred to in sub-section (1) or in respect of any portion of the turnover relating to such sale shall be on the dealer effecting such sale." That Ordinance was replaced by the Central Sales Tax (Amendment) Act, 1969. After the amendment came into force several Sales Tax Officers, who had earlier assessed the assessees in accordance with the decision in Yaddalam Lakshminarasimhiah ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the assessees had been given opportunity to show that they had not collected sales tax in respect of the turnover with which they were concerned, but according to the officers concerned, the assessees had failed to discharge their burden. The finding of the assessing officers on this point is a finding of fact and was not open to review by the High Court in petitions under article 226 of the Constitution. Rule 38 of the Mysore Sales Tax Rules, 1957, empowers the assessing, appellate or revising authority or the Appellate Tribunal at any time within five years from the date of any order passed by it to rectify any mistake apparent on the record. The High Court opined, in our opinion rightly, that in order to attract the power to rec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed tax or not. If the impact of section 10 is ignored, as the High Court has done, then the assessments in question are liable to be reopened whether the assessees had collected the tax or not. The assessees cannot have the benefit of section 10(1) but not the burden of proof placed on them under section 10(2). If the reasoning of the High Court is correct then it is the assessees who will be deprived of the benefit of section 10(1) of the Amendment Act because there could not have been any finding in the original assessment orders that the assessees had not collected tax. The legislative intention is clear and beyond doubt. The law gives a further opportunity to the assessees whose assessments are sought to be reopened to satisfy the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
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