Case: Ramsaran Das And Bros Vs. Commercial Tax Officer, Calacuttaand Others

The appellant is a partnership firm, under the Indian Partnership Act, with its principal place of business at 18 Netaji Subhas Road, Calcutta, within the jurisdiction of the first respondent. The appellant alleges that he carries on business of two kinds, namely, (1) of a dealer in coal and coke, and (2) of a middleman bringing about sales coal and coke between Colliery owners and consumers. In respect of its business as a dealer, the appellant is a registered dealer under the Bengal Finance (Sales Tax) Act (Bengal Act VI of 1941). Its second business as a middleman relates mainly to sales of coal and coke in the course of inter-State trade or commerce, and the tax in question relates to this second branch of its business. The Act came into operation in the State of West Bengal on July 1, 1957, when the appellant applied for and obtained a certificate of registration under the Act on July 30, 1957. In May 1958, the appellant made its return under the Act in respect of the period aforesaid, showing the turnover as nil. But in spite of its showing cause against the proposed assessment, the first respondent determined Rs. 9,17,196 as the appellants turnover in respect of the period aforesaid and assessed central sales tax thereon at Rs. 42,647.82 nP. under S. 8(2) of the Act, and issued Demand Notice. The appellant moved this Court and obtained the special leave to appeal from the order of the first respondent making assessment, and later a demand on the basis of the assessment.3. From the statement of fact given above, it is clear that the appellant did not exhaust all his remedies under the Act itself, and came directly to this Court as if the Order of Assessment passed by the first respondent was final.

Reasoning:
. It is clear, therefore, that neither of the two cases relied upon by counsel for the appellant is an authority for the proposition that he can come up to this Court on special leave directly against the judgment of the Assessing Authority without exhausting all his remedies under the Act.5. There are cases in which this Court was moved directly against the order of assessment, after ignoring the orders of the High Court refusing to have a reference made, or deciding the point referred, against the assessee. In those circumstances, this Court refused to entertain the appeal and held that the appellant was not entitled to invoke the jurisdiction of this Court under Art. 136, without coming up in appeal from the final decision inter parts given by the High Court. The latest decision of this Court on that question is the case of Chandi Prasad Chokhani v. State of Bihar, C. A. Nos. 170, 172 of 1959 D/- 24-4-1961 : (AIR 1961 SC 1708 ). In that case, the previous decisions of this Court have all been considered in extenso. We are in entire agreement with what has been laid down by this Court in trial batch of cases. Another decision of a Division Bench of this Court is the case of Kanhaiyalal Lohia v. Commissioner of Income-tax, West Bengal, C. A. Nos. 347-350 of 1960 D/- 17-7-1961 : (AIR 1962 SC 1323 ). In that case, this Court has taken the same view and dismissed the appeal as incompetent.6. The present case is a much simpler one, in which there are no special circumstances and in which the facts have not yet been finally determined. It may also be noted that the appellant has not challenged the vires of the Act or of any other law. We, therefore, think that we should dismiss this appeal as incompetent, without expressing any opinion on the merits of the controversy. It will be open to the appellant to take such steps as it may be advised, in pursuing such remedies as may be available to it under the law.