MAW JACOB Vs. STATE OF KERALA

JUDGEMENT

(1.) THE revision petitioner is running a rice mill under the name and style of "mathichiparambil Rice Mill" near boat jetty at Changanacherry. He is a dealer under the Kerala General Sales Tax Act, 1963, attached to the Sales Tax Officer, Changanacherry.

(2.) FOR the assessment year 1984-85 the sales turnover disclosed by him was Rs. 7,44,976. 50. There was an inspection on March 21, 1985 and it revealed unaccounted sale of rice for Rs. 2,210 and other variations noticed in paddy and bran. The irregularities seen from the order of the Sales Tax Officer, if considered mainly concentrate with regard to the non-keeping of stock register for showing the bran, the sales turnover under this item is very low. Meter card is not produced for verification. The assessee contended that mainly the sales of rice are on commission basis. The officer did not accept this because there is no acceptable proper evidence in regard thereto. The method adopted for arriving at the purchase turnover is estimated by deducting 2 per cent gross profit from the sales turnover of rice and assessed to tax under section 5a of the Act. The irregularities showed 71 quintals of paddy in excess, 10. 62 quintals of boiled paddy, 40 kgs. excess of rice and 150 kgs. excess of rice bran all revealing a total unaccounted sale of rice for Rs. 2,210 on the day of inspection. It appears that there was compounding on payment of penalty of Rs. 200.

(3.) THE first appellate authority - the Appellate Assistant Commissioner of Agricultural Income-tax and Sales Tax, Kottayam, after hearing the assessee, perusing the assessment record and the defects pointed out by the assessing authority agreed that there are substantial grounds for rejection of accounts and upheld the same to that extent.