M/S.Rnd Builders PVT.LTD. vs. State Of Orissa

Facts

The petitioner, M/s. RND Builders Private Limited, challenged a re-assessment order dated August 31, 2015, passed by the Sales Tax Officer, Bhubaneswar II Circle, Bhubaneswar. The challenge was brought before the High Court of Orissa through a writ petition. The core of the dispute revolves around the validity of this re-assessment order and any subsequent proceedings. The judgment references a prior decision of the same High Court and its affirmation by the Supreme Court, indicating a procedural history involving appeals and pronouncements on related matters.

Held

The Court held that the impugned re-assessment order dated August 31, 2015, passed by the Sales Tax Officer, Bhubaneswar II Circle, Bhubaneswar, and all proceedings consequent thereto are hereby quashed. This decision is based on the High Court's own judgment dated December 1, 2021, in STREV No.64 of 2016 (M/s. Keshab Automobiles v. State of Odisha), which was subsequently affirmed by the Supreme Court of India on July 13, 2022, in SLP (Civil) No.9912 of 2022 (Deputy Commissioner of Sales Tax v. Rathi Steel and Power Ltd.). The ratio decidendi is that if a prior judgment of the High Court, affirmed by the Supreme Court, governs the issue, then any similar order or proceeding based on the same underlying principles must be quashed. The operative direction is the quashing of the re-assessment order and all consequent proceedings. No issue was expressly left undecided.

Key Issues

1. Whether the re-assessment order dated August 31, 2015, passed by the Sales Tax Officer, Bhubaneswar II Circle, Bhubaneswar, and all consequent proceedings are liable to be quashed? The petitioner argued that the impugned re-assessment order and subsequent proceedings should be quashed. The revenue (State of Odisha & Others) did not present any arguments as recorded in the judgment. The court's decision hinges on its previous judgment in STREV No.64 of 2016 (M/s. Keshab Automobiles v. State of Odisha), which was affirmed by the Supreme Court of India in SLP (Civil) No.9912 of 2022 (Deputy Commissioner of Sales Tax v. Rathi Steel and Power Ltd.).