Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2013 (5) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (5) TMI 780 - HC - VAT and Sales TaxRejection of books of accounts - Best Judgment assessment - whether the authorities were justified in rejecting the account books of the assessee for the assessment year 2004-05 on the basis of survey dated April 21, 2005 and to make best judgment assessment - Held that:- there was no other material before the authorities, which could demonstrate that the assessee had conducted any business during the relevant assessment year 2004-05, there was no justification for rejecting the account books and in making the best judgment assessment on the basis of stock found during survey dated April 21, 2005. - best judgment assessment cannot be made in an arbitrary manner on the basis of conjectures and surmises. There has to be some material to support such an assessment. A reference in this regard may be had to the decision of this court in case of Om Prakash Sharma v. Commissioner of Trade Tax wherein it has been very clearly ruled that the best judgment assessment cannot be made on assumption and presumption inasmuch as assumption and suspicion cannot be regarded as part of the evidence. - Decided in favour of assessee.
|