Case Laws
Acts
Notifications
Circulars
Classification
Forms
Manuals
Articles
News
D. Forum
Highlights
Notes
🚨 Important Update for Our Users
We are transitioning to our new and improved portal - www.taxtmi.com - for a better experience.
⚠️ This portal will be discontinued soon
Home
2020 (5) TMI 364 - HC - VAT and Sales TaxBest Judgement Assessment - addition towards suppressed turnover - rejection of VAT-100 Form - validity of proceedings initiated by the revisional authority under Section 64(1) of KVAT Act - HELD THAT - Where the accounts are acceptable as genuine and substantially correct the assessment could be made on the basis of the accounts maintained. Indisputably the assessee has compounded the offence by accepting the suppression at the time of inspection and discharged the tax liability of Rs. 75, 180/- towards suppressed turnover of Rs. 5, 56, 982/-. It is obvious that the pattern of maintaining the account books was not in order. On rejecting the accounts and the VAT-100 Form submitted by the assessee the prescribed authority has made best judgment assessment by adding the turnover equal to the suppressed turnover over and above detection made. It is imperative that no suppression would have come to light in the absence of inspection - There being rationale behind estimation of the turnover same cannot be held to be untenable. The appellate authority has merely proceeded to set-aside the addition of turnover without examining the applicability of the judgments referred to supra in the right perspective. At any stretch of imagination it cannot be held that the 3rd respondent had no jurisdiction to invoke the revisional power under Section 64(1) of the Act. The twin conditions i.e. the appellate order being erroneous and prejudicial to the interest of the revenue being satisfied the 3rd respondent was justified in setting aside the order of the appellate authority and restoring the order of the prescribed authority - the questions of law are answered against the assessee and in favour of the Revenue. Appeal dismissed.
|