A RAMAR NAINAR Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) THE assessee is the petitioner. For the assessment year 1978-79 the assessee reported a turnover of Rs. 22, 050. THE assessing officer, after gathering various materials, determined the taxable turnover at Rs. 2, 68, 521. THE assessee is not maintaining accounts. On appeal, the Appellate Assistant Commissioner redetermined the taxable turnover at Rs. 1, 03, 964. THE assessee filed an appeal before the Appellate Tribunal and the department filed an enhancement petition. THE Appellate Tribunal, again redetermined the taxable turnover at rupees two lakhs. It is against that order, the assessee is in revision before this Court.

(2.) THE learned counsel appearing for the petitioner submitted that the Tribunal was not correct in making addition by three times of the total turnover and the purchase turnover found in the bank's statement. It was submitted that the estimate of the turnover as done by the Tribunal is on the high side. According to the learned counsel, the turnovers as shown by the assessee before the Tribunal for the month of April, 1978 at Rs. 36, 060 would include the sum of Rs. 22, 050 reported as turnover in the assessment year under consideration. THErefore, this should be deducted from Rs. 67, 457. In any event, it was submitted that the determination of the turnover on the basis of the estimate done by the department and the Tribunal is excessive. On the other hand, the learned Additional Government Pleader (Taxes) while sporting the order passed by the Tribunal, contended that inasmuch as the assessee failed to maintain proper account and the assessee was unable to explain as to the absence of turnover for some months in the assessment year under consideration, the estimate of turnover determined by the Tribunal at rupees two lakhs itself is on the low side. THErefore, according to the learned Additional Government Pleader (Taxes), no further deduction need be done in the case of the assessee.