TMI Blog2020 (8) TMI 219X X X X Extracts X X X X X X X X Extracts X X X X ..... nds which have different purchase value; as seen from the sale value disclosed in the sale invoices. The assessee sells liquor on retail, after purchasing the same from the Kerala State Beverages Corporation. The purchase value cannot be a reference to decide on the assessee's sale price since the assessee offers a premises for the customer to consume alcohol. The estimation has been made on mere surmises and conjectures. There is absolutely no rational basis to reject the books of accounts and the estimation made has no nexus to the nature of the business and transactions carried out in the two licensed premises of the assessee - revision allowed - decided in favor of assessee. - S. T. ( Rev. ) Nos. 25/2019, 22/2019, 23/209, 24/2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... GP has been estimated. It is pointed out that, GP of 2 brands of foreign liquor sold respectively in the Air Conditioned (AC) and Ordinary (Non AC) Bar of the assessee, was the basis on which the estimation was carried out. There is no material available for carrying out such an estimation, which is merely on surmises and conjectures, is the submission. 3. The learned Government Pleader would argue that there is no question of law arising from the order of the Tribunal and the revisions have to be rejected. The learned Government Pleader also relies on two decisions of this Court in Sapna Polyweave Ltd. v. State of Kerala - S.T.Rev.No.124 of 2007 dated 30.05.2007 and K.H.Floorings v. State of Kerala S.T.Rev.No.216 of 2007 dated 27.06.2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liquor, which is carried out through an AC Bar and an Ordinary one; both licensed premises. It is the specific contention of the assessee, as is also evident from the above referred table; different brands/items are fast moving in the two different licensed premises. The assessee has been billing the liquor sold in AC Bar at a higher rate than that sold in the Ordinary Bar. The assessee is well within its rights to adopt such a procedure especially considering the fact that better facilities are provided in the AC Bar. There is also no statutory bar (no pun intended) from doing so. What the Assessing Officer has done is to take the highest gross profit of a brand as available in the invoices of the Ordinary Bar and that in the AC Bar, whic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... There is no material available to the Assessing Officer as to any brand having been sold at a higher rate than that disclosed in the bills. What was before the Assessing Officer was only the actual invoices from which two of the highest in the respective licensed premises were picked up to compute the average for the purpose of estimation. We do not think that the Assessing Officer adopted a rational basis for making such estimation when admittedly the assessee had sold different brands which have different purchase value; as seen from the sale value disclosed in the sale invoices. The assessee sells liquor on retail, after purchasing the same from the Kerala State Beverages Corporation. The purchase value cannot be a reference to decide o ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
