ACTO, ANTI EVASION SECOND, ZONE Vs. M/S. LINING BUKRAM HOUSE, SANGHI LANE, CHAURA RASTA, JAIPUR, THE RAJASTHAN TAX BOARD, AJMER

JUDGEMENT

(1.) Instant petition is directed against order dt 16.1.2008 passed by Rajasthan Tax Board, Ajmer, in appeal no.844/2007/Jaipur, whereby the appeal filed by respondent assessee, has been allowed.

(2.) Brief facts noticed are that a survey was conducted at the business premises of respondent on 2.3.2001 in the presence of Shri Shantilal Jain, the Proprietor of said concern. It was noticed that the respondent is maintaining books on computer. At the time of survey the officers found that in the room above computer room a godown is situated where 90 cartons of Pack Chain (Zip) with mark 'H.L.' were found noticed and on enquiry the assessee stated that the same were purchased from Delhi, however, despite of providing time, the assessee did not produce the necessary purchase bill, challan, builty or/and other material and on the contrary it was found that the said items were not recorded in the books of account. Accordingly the officer prepared a stock statement. A show-cause notice under section 77(8) of the RST Act, 1994 was issued for hearing on 8.3.2001, however, the respondent assessee filed written reply on the spot contending, inter alia, that the hearing be concluded then and there and he was not interested to appear on 8.3.2001 and taking into consideration the above factum of not availing an opportunity to provide the material on a later date, the Assessing Officer passed an order on 2.3.2001 holding that the assessee has failed to justify accounting of the said goods being not supported with bills and vouchers or not having been recorded in the books of account, were kept with the intention of evasion of tax and accordingly imposed penalty of Rs.1,30,500/-.

(3.) The matter was assailed before the Dy. Commissioner (Appeals) before whom the assessee sought to place purchase bill, voucher, builty and other material, so also contended that the said goods are recorded in the books of account and since there was pressure/coercion, therefore, the assessee accepted the charge/guilt but in the light of the explanation before the Dy. Com.(A) as well as the same being supported with voucher, bill etc. the penalty is not leviable. However, the Dy. Com.(A) rejected the appeal.