ASSISTANT COMMERCIAL TAXES OFFICER Vs. KEM PHOTO

JUDGEMENT

(1.) INSTANT sales tax revision petition by the petitioner -Revenue is directed against order of the Rajasthan Tax Board (for short, 'Tax Board') dt.03/03/2010 by which the appeal filed by the Revenue against the order dt.11/01/2005 passed by the Deputy Commissioner (Appeals) [for short, 'DC(A)'] has been dismissed.

(2.) BRIEF facts of the case are that a survey was conducted on 13/02/2001 by the officers of the petitioner -Revenue at the business premises of the respondent -assessee and it was noticed that the respondent -assessee is dealing in photographic chemicals and during the course of survey at the back side of premises 101 cartons of photographic chemicals were found. One Shri Anil Sharma, Assistant was available in the business premises but he neither produced bill nor proved as to whether the same were recorded in the purchase register and/or stock register but admitted that it is without bill and that it is not recorded in the purchase register as well. The Assessing Officer was not satisfied with the explanation and the value of the said goods was estimated at Rs.2 lac and a penalty of Rs.60,000/ - under Section 77(8) was levied.

(3.) THE respondent -assessee challenged the matter in appeal before the DC(A) who noticed that the search and seizure memo was not made in the presence of two independent witnesses and further the goods were not physically counted/weighed and merely on estimate basis, the goods were recorded and accordingly deleted the penalty.