Commr.Commercial Tax U.P vs M/S Oswal Greentech Limited on 28 October, 2016
"It is well-settled that proceedings under Section 3-B shall be initiated
only when the assessee issues a false or wrong certificate or declaration
provided under any of the provisions under the Act or Rules framed
thereunder. This view has been constantly taken by this Court in Sahni
Engineering Works v. Commissioner of Sales Tax 1994 UPTC 70, Commissioner
of Sales Tax v. B.K. & Co. Engineering Works, Agra 1995 UPTC 502 and S.G.
Industries v. State of Uttar Pradesh [1998] 108 STC 328; 1997 UPTC 616 of
this Court. Therefore, unless it was shown that the form III-B issued by
the revisionist were false or wrong, or the declarations made therein was
false or wrong, no proceedings under Section 3-B of the Act could have been
initiated. It is also not the case of the department that the assessee did
not use the goods purchased by him for the purpose for which exemption
certificate was granted to him. Therefore, the assessee cannot be deemed to
have issued a wrong certificate."