ASSISTANT COMMISSIONER OF TAXES ASSAM SHILLONG Vs. KEDARMAL KESHARDEO

JUDGEMENT

(1.) THIS application under article 226 of the Constitution is directed against an appellate order of the Assam Board of Revenue under section 31a of the Assam Sales Tax Act, 1947, of 8th June, 1667.

(2.) RESPONDENT No. 1 (briefly "respondent") is a registered dealer under the Assam Sales Tax Act and deals in galvanised corrugated iron (g. c. i.) sheets. They sell these sheets on permits issued and at price fixed by the Deputy Commissioner in favour of various purchasers. The period in question is that ending on 31st March, 1964. The Superintendent of Taxes assessed the respondent as liable to tax on the g. c. i. sheets at the rate of 4 per cent as applicable to "other goods", under item 4 of Schedule II to the Assam Sales Tax Act as against the rate of 2 per cent charged prior to 1st January, 1964. There was an unsuccessful appeal against the assessment order to the Assistant Commissioner of Taxes. The Assistant Commissioner held "that the item g. c. i. sheets was, prior to 1st January, 1964, taxable under the Assam Finance (Sales Tax) Act, 1956, and classified as 'declared goods' as defined under section 14 of the Central Sales Tax Act, 1956". According to him, g. c. i. sheets became taxable from 1st January, 1964, under the provisions of the Assam Sales Tax Act, 1947, as "other goods". The appellant's (respondent herein) contention, that he was not aware of the liability to pay enhanced rate of tax and thus could not realise the tax at the correct rate from his customers, was not accepted by the Assistant Commissioner. The respondent took an appeal to the Assam Board of Revenue, which upheld the plea holding as follows :

(3.) MR . J. P. Bhattacharjee frankly conceded that he was unable to support the reasons given by the Board in arriving at the conclusion in favour of the respondent. He, however, submits that he can support the conclusion of the Board on other grounds. Since these grounds are not relied upon by the Board, we are not inclined, in this case, to entertain new grounds on the writ side of this court, if the grounds given by the Board are extraneous and irrelevant for the purpose of deciding the matter raised before it. Whether the department could assess at a higher rate will have to be decided on the basis of the law in that behalf. Liability to pay tax is under the charging section subject to the other provisions of the relevant Act and to the rate of tax payable under the law. That should have been the correct approach of he Board in deciding the appeal.