9911796707
TMI Blog1999 (3) TMI 619X X X X Extracts X X X X X X X X Extracts X X X X ..... uring the periods of four quarters ending September, 1984 and September, 1985 the company made payment of Rs. 1,20,072.49 (subject-matter of RN-164 of 1998) and Rs. 1,45,089.08 (subject-matter of RN-163 of 1998) respectively. The assessment for the four quarters ending September, 1984 was completed on July 26, 1991 assessing Rs. 1,31,914 as tax payable and Rs. 21,142 as interest payable and demand notices in form VII and VII-L were issued. The company filed an application before this Tribunal challenging the legality and validity of the order of assessment on the ground that the same was done beyond the period of four years from the end of the year for which assessment was made. This Tribunal in that case (RN-99 of 1992) struck down assessm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 84 and September 30, 1985 was rejected by the respondent No. 2 (the Commercial Tax Officer, Park Street Charge). The company has, therefore, filed before this Tribunal the two applications (giving rise to the two cases bearing Nos. 164 of 1998 and 163 of 1998) praying for direction on the respondents to make refund of the said amounts with interest thereon. 3.. The respondents in their affidavit-in-opposition dispute the complainant's claim on the ground that a dealer's statutory liability to pay tax does not depend on assessment and that he has the statutory obligation to pay admitted tax as per his own return and that the assessment, which is only the process of quantification of tax, even if found illegal will not affect the tax paid by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 672 may be referred to. It is true that liability to pay tax cannot be enforced by the Revenue till the quantification is effected by assessment. Therefore, when an assessment is barred by limitation for not having been completed within the prescribed period, the assessing officer is debarred from proceeding with such time-barred assessment and even if the officer completes such time-barred assessment, such assessment is of no legal effect and the Revenue cannot competently enforce such order of assessment for collecting tax found due on such assessment. The most pertinent aspect is that expiry of the period of limitation for assessment only ousts the jurisdiction of the assessing officer to make assessment. But it does not destroy the con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment as such, the dealer is exempted from his liability to pay tax on his taxable turnover as shown in his return. In such a situation it cannot be said that the dealer is entitled to refund of the tax paid by him on the ground that there is no assessment in existence. It follows therefrom, that whatever has been deposited as tax in accordance with return is valid tender from the dealer's point of view and is a valid collection from the Revenue's point of view. The assessment being a proceeding at a subsequent stage will not affect the position that whatever has been deposited is a valid discharge of tax liability to the extent of such deposit, though subsequent assessment may show that such payment was in short of or in excess of the actua ..... X X X X Extracts X X X X X X X X Extracts X X X X
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