Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2022 (12) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (12) TMI 968 - ALLAHABAD HIGH COURTRejection of the books of accounts of the revisionist - assessment of turnover on best judgment basis on the strength of invoices which were never proved by the Department as pertaining to the revisionist - HELD THAT:- It is a case where various mobile squads had sent certain material to the assessing officer who during the assessment proceedings had issued notice to the assessee to verify the said sale and purchase. There has been denial on the part of the assessee to the said transaction which has been alleged by the assessing authority. The assessing authority found that the assessee has not entered the transaction in his books of accounts and thus held that undisclosed purchase at Rs.2,30,00,000/- was made by the assessee while there was undisclosed sale to the tune of Rs.2,50,00,000/-. The burden to prove the material which was recovered by the various mobile squads was upon the Department and burden could not have been shifted upon the assessee to prove the same. Further, the assessee has denied the transaction having been made by him. Now coming to the question of Section 16 of the Act of 2008, this Court finds that the word used in Section 16 is that where a fact is in the knowledge of the assessee, then during assessment the burden of proving shall lie upon assessee. In the present case, it was the material which was recovered by the various mobile squads which was denied by the assessee and thus was not in his knowledge. Thus Section 16 of the Act of 2008 is not attracted and the argument raised from the revenue side fails - Assessee is entitled to the relief claimed and no tax liability can be fastened upon the assessee by the material which was seized by the mobile squad which remained unproved during the assessment proceedings nor at the first appellate stage. The question of law as framed stands answered in favour of the assessee and against the Department - the revisions stands allowed.
|