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2019 (7) TMI 1203 - ALLAHABAD HIGH COURTLiability of tax - Whether in absence of any statutory provision enabling the revenue to draw and rely on any presumption as to trading performed by the assessee/transporter, any tax liability could have been fixed merely because the assessee did not furnish the details of the consignor and the consignee of completed transactions? - HELD THAT:- Section 8 A(5) of the Act is not with respect to completed transactions of transportation of goods. Rather it is a provision that governs the conduct of the parties while the goods are in course of transportation. It is in that regard that the Act provides that the dealer would handover to the transporter complete documents/prescribed forms and the transporter or a person-in-charge of the vehicle (who would be carrying such goods during transportation), shall on demand, made under Section 13 (2) of the Act, produce such documents etc. for inspection. It is in the event of failure to discharge such obligations that an adverse presumption has been provided to be drawn on presumptive basis. It is true that the presumption would remain rebuttable. In absence of any material or evidence being brought on record to establish that though the assessee was a transporter but had engaged in trading in goods, again it could never be said that the assessee was liable to pay tax. It was for the revenue to have brought evidence to establish that the assessee had engaged in trading activity. That evidence being lacking the best judgement assesment and quantification of turnover are found to be with no legs. The question of law is answered in favor of assessee-revisionist and against the revenue-respondent. Revision allowed.
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