1. DR. R. R. MISRA, J. These three revisions are directed against a consolidated order dated 3rd October, 1986 passed by the Sales Tax Tribunal in regard to the claim of the assessee for the assessment years 1978-79, 1979-80 and 1980-81 respectively.
2. During the aforesaid three assessment years the assessee had claimed before the Sales Tax Tribunal that he is entitled to exemption against forms III-B in regard to the purchases made. From a perusal of the impugned order passed by the Sales Tax Tribunal it is apparent that the said forms III-B were not filed before the assessing authority as well as both the appellate authorities. The basis of confirming the refusal of the relief claimed by the assessee against said forms III-B by the Tribunal is that the said forms were invalid in all the aforesaid three assessment years in question. In this situation, in my opinion, there is no error of law involved in the impugned order passed by the Sales Tax Tribunal in regard to the same.
3. As regards the submission of the learned counsel for the assessee that corrugated sheets are "paper", the Tribunal has recorded a finding of fact that corrugated sheets are different from paper as mentioned under Notification No. ST-II-332/x dated 15th November, 1971. Having given my anxious consideration to the finding of fact as well as the entry in the said notification, I am of the opinion that no error of law is involved in the impugned order passed by the Sales Tax Tribunal holding that corrugated sheets are not paper.
4. The last submission made by the learned counsel for the assessee is that, at any rate, interest was not payable on the disputed tax on the aforesaid corrugated sheets. I find that the assessee has been disputing all through the liability on the corrugated sheets as stated above and it is a different matter that the claim of the assessee has been negatived by all the authorities below. The said dispute cannot be said to be not bonafide. I have heard learned Standing Counsel appearing on behalf of the Commissioner of Sales Tax. He has not been able to satisfy me as to how interest under section 8 (1) of the U. P. Sales Tax Act on the disputed liability of tax on the corrugated sheets is leviable on the assessee. Under the circumstances, in my opinion, the Tribunal is in error in upholding the levy of interest by stating that the assessee has only laid his claim by stating incorrect facts. In my opinion, this cannot be a valid ground under section 8 (1) of the Act. What is to be seen in such a situation is as to whether the claim was bona fide or not. No finding has been recorded by the Tribunal that the said claim of the assessee was not bona fide. In this situation, this part of the impugned order passed by the Sales Tax Tribunal is vitiated in law and is liable to be set aside.
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/> 5. In the result, all the three revisions succeed in part and are allowed. The impugned order passed by the Sales Tax Tribunal dated 3rd October, 1986 is set aside to the extent it upholds that the assessee is liable to pay disputed interest on corrugated sheets. Costs on parties. Petitions partly allowed. .