TMI Blog1989 (12) TMI 72X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee categorically stated that there is no dispute so far as the valuation of levy sugar is concerned. The assessee in short has indicated that the total stock of free sugar as on the closing date of the previous year was 71,439 qtls. The Tribunal accepted that on the date of signing of the Balance-sheet, i.e., 30-11-1978, the realisation by way of sale should be taken into consideration and the balance quantity should be valued according to the method followed by the assessee in the earlier year. It has been further indicated referring to page 2 of the paper book that if the earlier method is applied, 42,704 qtls. should be valued @ Rs. 200.40 per qtl. and the balance 28,789 qtls. should be valued @ Rs. 180 which was the prevailing r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . The Tribunal accepted in part the argument of the assessee. The Tribunal concluded that the realisable value of the stock on the date of signing of the Balance-sheet may be taken into consideration. However, the Tribunal did not accept that the value prevailing on 30-11-78 should be taken in estimating the unsold stock. The Tribunal has given effect of the principle which was accepted by it and, therefore, there is no mistake in it. 4. Dr. Vaish filed a small sheet indicating as to how the closing stock of free sugar should be valued as on 30-6-78 and reiterated his arguments made earlier. 5. The assessee's previous year ended on 30-6-78. The Balance-sheet was signed on 30-11-78. The assessee was having following stock as on 30-6-78: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -78. The assessee consistently was following the cost or market rate which ever was lower and this method had been accepted by the Tribunal. According to page 2 of the paper book, the cost on the last date of the previous year was Rs. 207.86 per qtl. whereas the market rate was Rs. 260 per qtl. The lower of the two being cost at Rs. 207.86 per qtl. may be adopted for the valuation of the remaining free sugar of 28,789 qtls. The mistake is apparent because the said fact has been recorded by the Tribunal in page 2 of the order which has also been given in page I of the paper book of the assessee. However, the assessee incidentally did not dispute the value of levy sugar. The assessee was having the levy sugar of 95,144 qtl. on the closing dat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation of free sugar in para 22 of the order and therefore the quantity and the rate should be substituted for free sugar as follows : Free Sugar 42,704 qtls. (sold up to 30-11-78 ... Rs. 85,58,293) 28, 789 qtls. @ Rs. 207.86 per qtl ... (at cost) 8. The other point taken by the assessee in the misc. application is that the Tribunal has not given any finding on the second alternative ground of the assessee. The second alternative ground of the assessee as recorded in para 12 of the order was that even otherwise the method adopted by the assessee was bona fide, if no change was made during the year under appeal and it was not adopted to defeat the interest of the revenue. The Tribunal has not given any finding on this ground of the asse ..... X X X X Extracts X X X X X X X X Extracts X X X X
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