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Judgment
Ismail, C.J.—The matter relates to reassessment u/s 16 of the Tamil Nadu General Sales Tax Act, 1959. There is no dispute that the
respondent had purchased yarn from master weavers who in turn have purchased from co-operative societies which in turn had purchased from
the spinning mills. It is in that context the Tribunal observed that when the yarn has been traced to production from the spinning mills in the State
and had been sold to co-operative societies in the State, it is difficult to hold that there were no earlier taxable sales in the State and that the
respondent herein who had come into possession of the goods after two or three stages had become the first seller in the State, and that there was
no sufficient material for the assessing officer to make the assessment u/s 16 in respect of an escaped turnover. By making these observations and
reaching this conclusion, the Tribunal cannot be said to have committed any error of law so as to entitle this Court to interfere in revision. The tax
revision case is therefore dismissed.