STATE OF PUNJAB Vs. K.C. MOTORS

JUDGEMENT

(1.) This order shall dispose of VATAP Nos. 33, 34 and 35 of 2011 filed by the State against the respondent involving identical issues based on similar facts relating to assessment years 2007-08 to 2009- 10. For brevity, the facts are being extracted from VATAP No. 33 of 2011.

(2.) This appeal has been filed by the revenue under Section 68 (2) of the Punjab Value Added Tax Act, 2005 (in short "the Act") against the order dated 11.11.2010 passed by the Value Added Tax Tribunal, Punjab (hereinafter referred to as "the Tribunal") relating to assessment year 2009-10 claiming the following substantial questions of law:-

(3.) The facts necessary for adjudication of the present appeals are that the business premises of the assessee were inspected by the Designated Officer on 26.1.2010 and 31 loose papers with three diaries were impounded for verification from where it was found that the assessee had sold goods to various parties but were not accounted for in the regular account books. During the assessment year 2009-10, such sales amounting to Rs.1,03,01,684/- were detected which remained unexplained. Accordingly, notice under Section 30 of the Act was issued for framing the provisional assessment for the assessment year in question. None had appeared on behalf of the assessee in the proceedings. The provisional assessment was finalized by the Designated Officer vide order dated 31.5.2010 raising a demand of Rs.14,61,149/- including penalties under Sections 56 and 60 of the Act.