TMI Blog1991 (2) TMI 388X X X X Extracts X X X X X X X X Extracts X X X X ..... sments under the Bengal Finance (Sales Tax) Act, 1941, as then extended to the Union Territory of Delhi, hereinafter to be referred to as "the local Act" and under the Central Sales Tax Act, 1956, were framed for the year 1969-70 by Shri T.C. Rana, Sales Tax Officer, Ward No. 25, by two separate orders both dated August 31, 1973. During the course of assessment proceedings, it was revealed that the dealer did not maintain purchase vouchers, cash-book, ledger or any other books except sales vouchers and sales register. The dealer was a manufacturer and processor. The assessing authority held that in the absence of purchase vouchers, it was impossible to find out to what extent the dealer made purchases and whether he had utilised those purch ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de the enhancement. The order of Shri Mittal was, however, revised suo motu by Shri K.B. Shukla, Deputy Commissioner, Sales Tax, by his order dated October 9, 1975, under section 20(3) of the local Act. The learned Deputy Commissioner was of the view that the true assessment could be maintained only if the purchases and sales of dealer were duly vouched, but as the dealer did not maintain purchase vouchers much less the other principal books namely cash-book, ledger and stock register, the sale vouchers could not reflect a true account of purchases and sales. He was firmly of the view that the account produced by the dealer before the assessing authority did not inspire confidence and they were rightly rejected by him. As regards the enha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t he had not been able to do so in his life. He further stated that he was slave of his nature and in spite of his best efforts he had miserably failed in maintaining the proper books of account for which he also suffered in the matter of realisation of payment from his customers as well. The explanation offered by the dealer was not accepted by the learned assessing authority. In the absence of the trading account, purchase vouchers, cash-book and ledger having been produced by the dealer for examination of the returned version, reliance on the sales vouchers produced by the dealer was not placed at all by the learned assessing authority. He, therefore, proceeded to assess the dealer to the best of his judgment and made out addition under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ded by the learned counsel for the dealer that the order of the Deputy Commissioner should not have been passed as the ingredients for exercising the revisional jurisdiction were not present. The submission of the learned counsel is that even though, for non-production of the books of accounts, the accounts could be rejected, but that did not mean that there would automatically be enhancement to the gross turnover. There was no warrant for the Deputy Commissioner or the Sales Tax Officer to assume that there must have been increase in the gross turnover. From the facts stated hereinabove it is quite clear that the dealer was either not maintaining proper books of accounts or did not choose to produce the same before the sales tax authorit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t is impossible to judge the gross turnover merely on the basis of the sales vouchers or sales register. The Deputy Commissioner was fully justified in coming to the conclusion that the order of the Assistant Commissioner had to be revised. This is more so because even if no other evidence was available the Deputy Commissioner referred to and relied upon two decisions of the Financial Commissioner in which it had been observed that there is a normal increase of about 15 per cent in business in the absence of any adverse circumstance in a year. Therefore, even if the Assistant Commissioner was not satisfied with the quantum of enhancement then he ought to have followed the decisions of the Financial Commissioner and taken into consideratio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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