1988 (1) TMI 335

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... revision has been filed. I have heard the learned counsel for the parties. Only two points were canvassed before me by the learned counsel for the assessee, namely, whether there was any material on record to reject the account version of the assessee and resort to best judgment assessment. The second contention was whether the Tribunal was justified in saddling the assessee with the burden to prove that it had not imported any goods outside Uttar Pradesh. Taking the first contention, the account books of the assessee were rejected on very substantial grounds. The assessee's business premises were surveyed several times during the year when the account books were found defective and not being maintained in regular course of business. .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... rd all its sales and purchases made during the year. Section 12(1) of the Act requires that every assessee shall keep and maintain a true and correct account showing the value of the goods sold and bought by him and in case the accounts maintained in the ordinary course, do not show the same an intelligible form, he shall maintain true and correct account in such form as may be prescribed in this behalf. Under the said provision, therefore, the assessee was required to maintain a true account showing the value of goods sold and purchases made by him. The object of section 12(1) is that perusal of accounts should give true picture of assessee's business affairs to facilitate assessment of taxable turnover by the assessing officer. If the acc .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ason for the assessee to keep the transactions of non-taxable goods outside the books and since the transactions were outside the books, it has to be held that purchases had been made outside Uttar Pradesh. I find this reasoning more logical and correct. Had the assessee purchased non-taxable goods, then there would be no reason for keeping transactions thereof outside the books. The very fact that the transactions have been kept outside the books, goes to show that the purchases had been made from outside Uttar Pradesh." In view of the above decision, the second argument advanced by the learned counsel for the assessee cannot be accepted. This revision has no force and is accordingly dismissed with costs. Petition dismissed.
Case law .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X