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2012 (7) TMI 858 - HC - VAT and Sales TaxWhether a dealer can file revised return under section 42(2) of the Act, after proceedings have been initiated under section 25 of the KVAT Act and after assessment of escaped turnover ? Held that:- Section 25 is an independent provision enabling assessment of escaped turnover wherein the Assessing Authority initiating action under the above section has been granted the powers to make best judgment assessment.When action is proposed under section 25, revised return can be filed only in the manner provided therein and in the situation provided thereon. Even going by the facts of the instant case, the revised assessment under section 42(2) assumed by Tribunal to have been filed by Assessee is not by way of rectifying a mistake or omission in the annual return with reference to the audited figures. Actual suppression of purchase was detected by Assessing Officer and proceedings initiated. The findings of the Tribunal with respect to OTRV No.22/12 section 25 and section 42(2) of the KVAT Act hence cannot be sustained. The question of law hence is answered in favour of the Revenue and against the assessee.The order of remand with respect to the input tax credit is sustained but the setting aside of the best judgment assessment by the Tribunal is overruled.
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