9911796707
TMI Blog1980 (3) TMI 248X X X X Extracts X X X X X X X X Extracts X X X X ..... entioned by 5 separate orders passed by the assessing authority on 13th November, 1976. Those were best judgment assessments made by the officer under section 19 of the Act. The assessing authority found that the figures of turnover disclosed by the books of account of the assessee with regard to cement, paints, A.C. sheets and sanitary-ware were true and correct, but that the accounts did not reflect the true state of affairs in relation to the transactions in "hardware" items. Even in regard to those items the assessing authority had however found that the disparity discovered in the accounts was not due to any deliberate attempt on the part of the assessee to suppress the true state of affairs, but it had been caused on account of a frau ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Officer for making the best judgment assessment was reasonable "as there is no other go except to take the stock actually found on 31st July, 1976, as the running stock". The appellate authority added that "there are no convincing reasons to add four times of the running stock as no other irregularities or suppressions either in hardware or other commodities like cement, A.C. sheets, etc., are found out". On this reasoning the appellate authority held that it was reasonable to add two times the running stock of hardware and accordingly it refixed the turnover of hardware at Rs. 85,760 for each of the years 1970-71 to 1974-75 and modified the assessments accordingly. 2.. Though a second appeal was filed by the assessee before the Tribunal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... why a best judgment assessment could not have been made taking the figures relating to those years as the basis, especially when it is seen that the accounts maintained by the assessee for these years had been accepted as fully correct and true while making the assessments for those years. No material whatever seems to have been gathered, nor have any been relied on by the assessing authority to show that there was any increase in the volume of business carried on by the assessee in hardware items during the period subsequent to 1969-70, nor does any investigation appear to have been made, so far as we can gather from the records, as to whether there was any increase or decline in the price of the hardware items between 1969-70 and July, 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
