TMI Blog2014 (5) TMI 571X X X X Extracts X X X X X X X X Extracts X X X X ..... he regular books of accounts - When that being the case, No justification found in the order of the Tribunal to allow the case of the assessee as a matter of course and without even checking the same with reference to the material records and accounts regularly maintained by the assessee – Therefore, the proper course herein would be to reaffirm the view of the AAC to allow the Assessing Officer to look at the details produced by the assessee with reference to D7 records as regards despatch of cashew kernal made to the Head Office at Quilon. The documents produced before the Tribunal were only photocopies - Tribunal should have tested the claim of the assessee with reference to the originals and with reference to the accounts - Without v ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3) of the TNGST Act and in the absence of leave obtained as per Regulation 12(i) of the Tamil Nadu Sales Tax Appellate Tribunal Regulations? (ii) Whether in the facts and circumstances, the Tribunal is right in setting aside the estimation suppressions based on documents produced at the stage of second appeal and without appreciating the materials on record independently? (iii) Whether in the facts and circumstances, the consequential reduction in penalty levied under Section 12(3) at 50% by the Tribunal is legally sustainable?" 2. The assessee's business was subjected to inspection on 20.9.1991, wherein, certain records were recovered on issue of D7 receipt. Originally, records seized were verified with regular accounts, which reflec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted out that the registration was found cancelled only for the assessment year 1993-94, that too on account of non-payment of the renewal fees. The Appellate Assistant Commissioner rejected the contention of the assessee that the business was closed with effect from 19.7.1991 as not acceptable, since the registration was found renewed by the assessee on 10.4.1992 for the assessment year 1992-93. Thus, the Appellate Assistant Commissioner found that the assessee's business continued till the year 1992-93. As regards the validity of the search made, the first Appellate Authority held that the search was validly done and the assessee was also granted sufficient time to file reply. However, the assessee had not taken advantage of the same. Neve ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lea of the assessee and deleted the said turnover. A reading of the order of the Tribunal shows that while accepting the case of the assessee on the turnover of Rs.15,75,348/- as relating to despatch of cashew kernals to his head office at Quilon, it also deleted the turnover relating to purchase suppression of Rs.56,260/- arrived at from the long size note book. In the light of the order thus passed accepting the case of the assessee in deleting the estimated turnover, the Tribunal also cancelled the levy of penalty to the extent of relief granted and sustained the levy of penalty at 50% of the tax due on the turnover sustained by it. The Revenue is on appeal as against this order. 8. As already pointed out, it is a matter of record that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hen that being the case, we do not find any justification in the order of the Tribunal to allow the case of the assessee as a matter of course and without even checking the same with reference to the material records and accounts regularly maintained by the assessee. Hence we feel that the proper course herein would be to reaffirm the view of the Appellate Assistant Commissioner to allow the Assessing Officer to look at the details produced by the assessee with reference to D7 records as regards despatch of cashew kernal made to the Head Office at Quilon. 10. It may be noted that the documents produced before the Tribunal were only photocopies. Thus, the Tribunal should have tested the claim of the assessee with reference to the originals ..... X X X X Extracts X X X X X X X X Extracts X X X X
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