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2017 (2) TMI 930 - HC - VAT and Sales TaxRejection of books of accounts - rejection on the ground that turnover in the books of account is higher than the amount in return is concerned - Shortage of goods - loss in transit - Held that: - in a series of judgment of this Court, it is clearly held that Books of Account cannot be rejected merely on the ground that the turnover disclosed in the Books of Account is higher than the turnover disclosed in the return. Wastage/ shortage of transportation at the rate of 4% - Tribunal has allowed only 2% - Held that: - There is no basis for the Tribunal to determine or arrived at a conclusion that losses upto 4% could not have occurred. The assessing authority and the Tribunal cannot fix any figure for loss caused during the transportation on surmises. There was nothing on record for the revenue to hold that the figures disclosed by the assessee were abnormally high or that it was otherwise inconceivable. In the absence of any other specific material, the Tribunal was not justified in discarding figures of loss due to transportation at 4% in the facts of the present case. With regard to the loading and unloading figures disclosed by the assessee being lower, I find that except for a solitary instances there was no material before the authority to doubt that assessee had not sold coal at the railway side itself - rejection not justified. With regard to the contention that the assessee has sold goods at a rate lesser than what was the market rate, there is nothing on record to indicate that the assessee has deliberately disclosed a lesser figure in the books of account and that Coal was actually sold at a higher rate. The revenue has, otherwise, not investigated the transaction so as to suggest that the price of coal was, otherwise, higher - rejection not justified. Tribunal was not justified in discarding the revisionist's books of account - appeal allowed - decided in favor of appellant.
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