K S JOSEPH Vs. STATE OF KERALA

JUDGEMENT

(1.) THIS tax revision case arises from an order of the Sales Tax Appellate Tribunal, Trivandrum. The Tribunal partly allowed the order of the Appellate Assistant Commissioner of Agricultural Income-tax and Sales Tax, Kottayam. The Assistant Commissioner had confirmed, subject to certain modifications, the order of the Sales Tax Officer, Palai, in respect of the assessment year 1969-70. The questions which are raised for our consideration are the following : " (1) Whether, on the facts and in the circumstances of the case, the Tribunal had material to estimate the current consumed for sawing timber ? and (2) Whether, on the facts and in the circumstances of the case, was the Tribunal justified in relying on the current consumption for estimating the turnover in the oil mill ?"

(2.) THE petitioner is a dealer registered under the Sales Tax Act. He has an oil mill where copra is crushed. THE petitioner also undertakes sawing of timber. He has only a common meter in the mill for recording the current consumption. In respect of the assessment year 1969-70 the Sales Tax Officer rejected the accounts submitted by the petitioner and estimated the turnover in the oil mill on the basis of consumption of current. Admittedly, the total current consumed by the petitioner is 35,755 units for the relevant period. Out of this 7,600 units had been taken by the officer as the current consumed for sawing purposes on the basis that 12 units of current were required for sawing one candy of timber. THE balance energy of 28,155 units was taken by the officer as the current consumed for the purpose of crushing copra. THE officer found that 8 to 9 units of current were required for crushing one quintal of copra. On this basis the quantity of copra crushed and its value were arrived at. As regards the current consumption in respect of timber, the Sales Tax Officer says in his order (annexure C) that "it is understood from enquiries that 10 to 12 units of electric energy are required for sawing one candy of timber. At the rate of 12 units per candy the quantity of electric energy required for sawing comes to 7,600 units". It is on this basis that the officer separated the quantity of electric energy consumed in respect of timber from that which was used for the purpose of copra. On appeal by the assessee, the Appellate Assistant Commissioner upheld the finding of the Sales Tax Officer as regards the current consumption for timber. In regard to the consumption of energy for crushing copra, the Appellate Assistant Commissioner thought that 8 to 9 units of current per quintal of copra, as found by the officer, was too low. He held : " I will, therefore, in the interest of justice allow a quantity of 11 units of electrical energy in this case to crush one quintal of copra. " On further appeal by the assessee before the Tribunal, it was held that the finding of the officer in regard to the rate applied for the consumption of current in respect of timber was correct. THE Tribunal thus held that 12 units of current were required for sawing one candy of timber in the instant case. THE Tribunal further upheld the finding of the Appellate Assistant Commissioner that 11 units of current were required for crushing one quintal of copra in the instant case.

(3.) IN our view, the Sales Tax Officer has had sufficient materials for coming to a finding as regards the consumption of current for timber, and the Tribunal was, therefore, perfectly justified in upholding that finding.