A NEDUNCHELIYAN Vs. JOINT COMMISSIONER COMMERCIAL TAXES

JUDGEMENT

(1.) This writ petition filed by the assessee seeks to challenge the order passed by the revisional authority exercising his powers under Section 34 of the Tamil Nadu General Sales Tax Act as it stood at the relevant point of time. The assessment year was 1994-95.

(2.) There was an inspection of the petitioner's jewellary business premises on 19.01.1995. Certain slips were recovered at the time of inspection under D7. The present impugned order related to Slip No. 5. According to the Assessing authority, the slip No. 5 contains 8 items of jewels of different weights, for which there were no bills either by way of purchase or by way of sales. The Assessing Officer noted that though there were no item ware stock maintained in the stock book, the total weight was furnished in the stock book. Since there were no bills either towards purchase or sales, the Assessing Authority by rejecting the stand of the petitioner that the items noted in Slip No. 5 were for removing the gold jewels from the shop to the house for safe custody during the forthcoming Pongal holidays, made an estimation of the weight and further estimation of the value of the sales to an extent of Rs. 2,67,000/- and On such sale value, three times of addition was also made along with other sales omission noted and the best of Judgment assessment was made.

(3.) On appeal before the Appellate Assistant Commissioner, while the estimation and the Best Judgment Assessment relating to all other slips covered by D7 were affirmed in respect of Slip No. 5, learned Appellate Assistant Commissioner took the view that all those jewels entered in Slip No. 5 were found available in the stock of the jewels gathered at the time of inspection on 19.01.1995, while Slip No. 5 was dated 14.01.1995. The Appellate Assistant Commissioner therefore held that the explanation of the writ petitioner/assessee can be accepted and the sales omission estimated to that extent was deleted. Consequently the three times addition was also restricted to one time addition in respect of other estimations made.