9911796707
TMI Blog2016 (12) TMI 1704X X X X Extracts X X X X X X X X Extracts X X X X ..... sclose a technique of evasion of tax that is at once simple and non-intricate but crafty and canny all the same. Such evasion being detected, defences are also sought to be attired in legal habiliments which is, however, undeserving. 3. Now to the essential facts: These revisions have been filed by the petitioner impugning the order of the Kerala Value Added Tax Additional Appellate Tribunal ('the Tribunal' for brevity) relating to the returns for the months of August 2007, September, 2007 and October, 2007 respectively. 4. Since all the revisions relate to the same sets of facts and the questions of law raised are similar, they are being heard and disposed of together by this judgment. 5. The constitutive facts as are necessary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... used for transportation. As for the month of October 2007, tampering of delivery notes and cancellation of huge delivery notes were noticed, while for the month of November 2007, again tampering of delivery notes was noticed. The Assessing Authority, therefore, apart from adding the actual suppression to the turnover, made two times additions of suppression turnover in all cases to cover the probable omissions and made an addition of 80% for related purchase turnover suppressions under Section 6(2) of the Kerala Value Added Tax Act ('the Act' for brevity). Thereafter, there was some orders for rectification with respect to the months October and November, which, however, did not change the nature of tax or additions made by the Ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tentions raised by the assessee and has found that the assessee had, in fact, conceded to the suppressions and that, therefore, the assessments were completed based on the suppressions identified by the Intelligence Wing, which was also admitted by the assessee. The Tribunal noted specifically that the assessee had admitted the offence of not maintaining true and correct books of accounts and had paid the compounding fee along with the tax due. The Tribunal concluded correctly that even the assessee does not have a case that such admission was made by them under threat or coercion. This is a case where substantial portion of the suppressed turnover was assessed with reference to specific documentary evidence. We have seen that it is admitte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... opportunity to verify the variance in the presence of the Assessing Authority or that it ought to have done so on its own being the highest fact finding authority. We see that the Tribunal has considered this issue and has answered it in paragraph 13 of the impugned order. We extract the same for ease of reference, which is as under: "Appellant has also cotnended that there was denial of natural justice as he was not given an opportunity to verify the working as to how suppression was arrived at. The manner in which turnover was suppressed is repeatedly expained in all the assessment orders preceded by proposals on the same lines. All the delivery notes which were tampered with are mentioned with number and date in each of the orders. We d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ded. Section 24(1)(c) of the Act, which provides for audit assessment, only provides that no assessment shall be made under that Section without affording the dealer an opportunity of being heard. For ease of reference the Section along with its relevant proviso is extracted: 24. Audit assessment.- (1) Notwithstanding anything contained in any other provision of this Act, if any dealer,- xxx xxx xxx xxx (c) fails to prove the claim of input tax credit [special rebate or refund claimed, the audit officer may, any any time within [three years] from the last date of the year to which the return relares,] after conducting such enquiry as he may deem necessary, reject the returns of such return periods and complete the assessments to the b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ate of the section to afford a notice to the assessee is discharged, it would then be up to the assessee to prove its case with sufficient material and the Assessing Officer would be under no constraints other than those specifically provided under the statute to complete the assessment under the best of his judgment. 14. In this particular case, since it is virtually admitted by the assessee that they had committed suppression and had also compounded the offence, it was then completely within the jurisdictional domain of the Assessing Authority to complete the assessment applying the principles of best judgment based on verification of the documents available and quantification of the same in a manner that is available to them under law. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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