COMMISSIONER TRADE TAX Vs. BALVIR STEELS PVT LTD

JUDGEMENT

(1.) Feeling aggrieved against the order dated 7th of August, 1997 ; assed by the Trade Tax Tribunal Kanpur in Second Appeal No. 612 of 1996, the Commissioner of Trade Tax has filed the present revision under Section 11 of the U.P. Trade Tax Act (hereinafter referred to as the Act).

(2.) The dealer opposite party is carrying on the business of manufacturing and sale of M.S. Ingots. Its account books for the assessment year in question 1990-91 were accepted by the Assessing Authority by the order dated 30th of March, 1995. The dealer opposite party had disclosed the total purchases and sales at Rs. 2,18,39,888-31 and Rs. 2,97,34,752-89 respectively. The account books of the dealer were examined by the Assessing Officer namely the Assistant Commissioner (assessment), Orai.

(3.) On the basis of survey dated January, 27, 1995 at the business premises of one M/s. Narendra Rerolling Mills Private Limited, Secundra (hereinafter called third party), reassessment proceedings under Section 21 of the Act against the present dealer was initiated by the department, giving rise to the present revision. In the aforesaid survey at the business premises of M/s. Narendra Rerolling Mills Private Limited certain documents of the said firm were seized. Entries pertaining to the dealer Opp.Party were found recorded in the account books of the_ said firm and in the survey seized documents. Some of the entries recorded in the seized material could not be tallied with the account books of the dealer opp.party, consequently, the assessing authority formed a belief that the dealer opp.party has transacted the business outside the books of account, therefore, it issued reassessment notice under Section 21 of the Act. At the first instance the reassessment notice was issued on 27th March, 1995, before the passing of the regular assessment order.