- (1.) By means of the present writ petition, the petitioner is challenging the order passed under section 21(2) of the U. P. Trade Tax Act (hereinafter referred to as, "the Act") dated August 6, 2005, passed by the Additional Commissioner (Assessment), Grade I, Trade Tax, Agra, for the assessment year 1999-2000 and in pursuance thereof, the notice issued under section 21 of the Act dated September 15, 2005 issued by the Deputy Commissioner (Assessment) III, Trade Tax, Agra, annexure 6 to the writ petition. The petitioner is a registered dealer and was carrying on the business of liquid glucose, etc. During the course of the assessment proceedings for the assessment year 1999-2000, the petitioner had admitted the tax liability on the liquid glucose at 7.5 per cent for the period April 1, 1999 to January 16, 2000 and at eight per cent for the period January 17, 2000 to March 31, 2000, which is applicable to the food product. The assessing authority while passing the assessment order on August 20, 2001 levied the tax at 7.5 per cent on the turnover of Rs. 41,76,447 for the period April 1,1999 to January 16, 2000 and at eight per cent on the turnover of Rs. 16,41,710 for the period January 17, 2000 to March 31, 2000. It appears that the limitation of four years had expired and, therefore, under the proviso of section 21(2) of the Act notice under section 21 of the Act was issued by the Deputy Commissioner (Assessment) III, Trade Tax, Agra on the ground that in accordance with law, the rate of tax on the turnover of liquid glucose should be taxable as an unclassified item.
(2.) The petitioner filed the reply and stated that in the case of Spyers Enterprises, Agra, the Tribunal vide its order dated May 31,1999 and November 19, 2003 has treated the liquid glucose as food product. The Additional Commissioner vide order dated August 6, 2005, has granted the approval to initiate the proceedings under section 21 of the Act beyond the period of four years on the ground that against the decision of the Tribunal in the case of Spyers Enterprises, Agra, the Revenue has filed the revision, which is pending and, therefore, he concluded that the tax which has been assessed by the assessing authority is not in accordance with law. In pursuance thereof, the notice under section 21 of the Act has been issued by the assessing authority.
(3.) Heard Sri R. R. Agarwal, Learned Counsel for the petitioner and Sri S. P. Kesarwani, learned standing counsel.;