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2021 (4) TMI 20 - HC - VAT and Sales TaxBest judgement assessment - formulae for levying the purchase tax on the ground that separate accounts are absent - petitioners are engaged in imports, consignment sales, local purchase as well as inter-state purchase - Section 12 of the TNVAT Act, 2006 - HELD THAT:- Even though the petitioners are having accounts in respect of all the transactions as mentioned above, the respondent in the impugned order has invoked a formulae for levying the purchase tax on the ground that separate accounts are absent. If the petitioner had been called upon to segregate the transactions and make available the details regarding local purchase, then, the respondent could have very easily and precisely computed the petitioner's liability. But he had not done so. Instead, the entire turn over has been taken into account and invoking some arbitrary formulae, the purchase tax has been levied. In the impugned order, the proportionate local purchase liable for tax value has been estimated by taking into account the overall turn over. There was absolutely no necessity or need for making any guess work. If the records are not available, then, the authority will have to take recourse to such best judgment assessment exercise. Instead of calling upon the petitioner to make available the records, the respondent had fallen back on guess work. On this sole ground, the impugned orders are quashed and the matter is remitted to the file of the respondent to pass orders afresh in accordance with law. This writ petition is allowed by way of remand.
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