C.S.P.Singh, J. - (1.) The petitioner submitted his quarterly returns for the assessment ear 1975-76 for purposes of assessment under the Central Sales Tax Act. The Sales Tax Officer by order dated 21st March, 1980, assessed the turnover at Rs. 2,30,350, and imposed tax of Rs. 8,324.05. He found that an amount of Rs. 2,123 had been deposited by the dealer, and an amount of Rs. 6,201.05 remained unpaid. He accordingly directed a demand notice to be issued for the sum. The dealer in the course of the assessment had taken up the stand that a larger amount of tax had been paid by him, but the Sales Tax Officer found that there was nothing on the record to substantiate this allegation. He, however, directed that on the dealer furnishing proof of payment of a larger amount of tax, he would be given benefit of it. A direction was given for charging two per cent interest on the shortfall of tax on the admitted turnover as from 9th September, 1976.
(2.) The petitioner has challenged the imposition of interest on various grounds. The first ground taken is that the Sales Tax Officer did not give credit for the amount of tax deposited by him. There is a clear direction in the order of the Sales Tax Officer that in case the assessee furnishes proof of payment of larger amount of tax, he would be given relief to that extent. This being so, we do not consider it proper to go into this question specially in view of the fact that the payment of a larger amount of tax than that disclosed in the order of the Sales Tax Officer, has been denied in the counter-affidavit. The counsel also challenged the vires of Section 8(1) of the U. P. Sales Tax Act, but for the reasons given in Karsandas and Brothers v. State of U. P. [Writ Petition No. 247 of 1980 (Tax)] [1982] 50 STC 82 decided by us we negative this contention. As regards the challenge to Section 8(1) based on Article 19 and Article 31 of the Constitution, no argument has been addressed to us on this score.
(3.) The main contention is that inasmuch as there is no provision in the Central Sales Tax Act for the charge of interest the Sales Tax Officer had no jurisdiction to impose interest on the balance amount of arrears of tax by resort to Sections 8(1) and 8(1-B) of the U. P. Sales Tax Act. This contention has to be tested with reference to Section 9(2) of the Central Sales Tax Act. Section 9(2) was amended by the Central Sales Tax (Amendment) Act, 1976 (Act No. 103 of 1976), and came into force on 9th September, 1976. Section 6(b) of the Amendment Act was in the following terms : 6. (b) In Sub-section (2), before the words 'compounding of offences', the words 'charging or payment of interest,' shall be inserted and shall be deemed always to have been inserted.;