SHRI RAM TRADERS Vs. DIVISIONAL DY COMMISSIONER

JUDGEMENT

(1.) This order shall decide W.P. No.3798 of 2004 (M/s Shri Ram Traders and another vs. The Divisional Dy. Commissioner, Commercial Tax & another), W.P. No.3783 of 2004 (M/s Shri Ram Traders and another vs. The Divisional Dy. Commissioner, Commercial Tax & another) and W.P. No. 3785 of 2004 (Ghanshyam Das through LRs vs. The Divisional Dy. Commissioner, Commercial Tax & another), involving similar legal issues based on similar set of facts. For the convenience, facts are taken from W.P. No.3798/2004.

(2.) Petitioner No.1 M/s Shri Ram Traders is a registered firm, registered under the provisions of Commercial Tax Act and co-petitioner Suresh Rai is the partner of the firm. Petitioners have assailed order Annexure P-2 dated 19.7.2003 passed by the Commercial Tax Department, Narsinghpur by which a penalty of Rs.2,10,000/-was imposed upon the petitioners under Section 69(2) of the M.P. Commercial Tax Act, 1994 (hereinafter referred as the Act) and order Annexure P-6 dated 17.8.2004 passed by the Additional Dy. Commissioner, Commercial Tax, Jabalpur in appeal by which the order Annexure P-2 was modified and penalty was reduced to Rs.1,25,000/-.

(3.) Facts of the case are that the petitioners were assessed for the assessment year 1.4.1999 to 31.3.2000 in which the Assessing Officer found that on 10.8.2000 an inspection was carried out in the premises of the petitioners and certain account books and loose papers were found and seized. As per the enquiry report the matter was referred to Assistant Commissioner, Commercial Tax, Jabalpur by the Dy. Commissioner, Commercial Tax, Jabalpur on 30.4.2001. The account books and the papers which were seized were not tallying with the account books earlier produced by the assessee, so assessment was not possible on such account book and treating that the assessee had evaded the tax, best judgment assessment order was passed. The assessing Officer had also found that certain entries in the account books and loose papers were not explained by the assessee and the assessment order was framed against the petitioners by which the sale was enhanced, assessed at Rs.3,45,829/-and commercial tax was imposed. Against the order Annexure P-1, an appeal was preferred by the assessee which was decided vide order Annexure P-4 dated 25.6.2004. The appeal allowed partly and by reducing the tax of Rs.4658/-, the assessment order was modified. It is stated at the Bar that the order Annexure P-4 has attained finality.