TMI Blog2009 (4) TMI 857X X X X Extracts X X X X X X X X Extracts X X X X ..... ler once it is proved through the extract that they had made purchases of groundnut from Karnataka dealers? and Whether the order of the Tribunal in having deleted the consequent penalty is legally sustainable? Held that:- While the business connection of the assessee with the Karnataka commission agent cannot form the basis to show that whatever transactions which were accounted in other States are genuine, unless the purchaser's role has been proved beyond doubt by giving such unassailable reason, the revision of assessment has to be set aside. Consequently the penalty imposed was also set aside. Not able to see any illegality or irregularity in the order of the Tribunal as the reasoning given by the Tribunal is cogent and als ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ribunal in having deleted the consequent penalty is legally sustainable? The material facts culled out from the memorandum of the grounds of revision is to the effect that in respect of assessment years 1991-92, 199293, assessment of as many as 27 dealers in groundnut has been completed based on the books of account and other documents required to be furnished under the provisions of the Tamil Nadu General Sales Tax Act, 1959. Subsequently, the assessment was sought to be revised under section 16 of the Tamil Nadu General Sales Tax Act, 1959 on the premise that the Enforcement Wing Officials communicated to the Jurisdictional Assessing Officer purchase extract sent by the Karnataka Sales Tax Officers. It is the case of the Revenue th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or transporting the goods from Karnataka to Tamil Nadu has not been made available by the Department. The Tribunal also found that the dealers in Tamil Nadu were going to Karnataka State and making purchases from marketing committee and the agents at Karnataka are arranging purchases. The commission agent obtains the cess receipt from the marketing committee and produced to the dealers with his invoice which mentions the description, quantity, etc. As a matter of fact, the Tribunal has verified one such mediator's invoice and ultimately found that when the purchases were effected from the marketing committee, the invoices raised by the marketing committee were not made available. Based on the commission agent's account, an asse ..... X X X X Extracts X X X X X X X X Extracts X X X X
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