9911796707
TMI Blog1984 (3) TMI 366X X X X Extracts X X X X X X X X Extracts X X X X ..... arily. The business premises of the assessee were surprisely inspected on 19th January, 1972 by the Excise and Taxation Officer (Enforcement) and it was found that the dealer had not made any entry in the cash book after 16th September, 1971 and cash balances had also not been struck after 19th July, 1971. The said officer impounded bill books, one diary and one exercise book. On examination of the books, it was revealed that sales transactions amounting to Rs. 6,200 were entered therein but no sale bill was issued. There were other discrepancies as well with which we are presently not concerned. The dealer was confronted with the aforesaid discrepancy but it rendered the explanation that the entry of Rs. 6,200 did not relate to its sal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... intained that at best, addition should have been made to the tune of Rs. 6 200 and possibly around that figure and not in any case to the tune of Rs. 20,000. Reliance was placed by him on Tara Chand Hari Ram v. Sales Tax Tribunal, Haryana [1972] 30 STC 342. It was held therein by this Court that a best judgment assessment cannot be arbitrary and whatever be the extent of speculative element in a best judgment assessment, it has at the same time to be based on some reasonable objective data, and further it cannot be based on suspicions without there being any material on which the Assessing Authority could rely. Reliance was also placed on Delhi Iron Syndicate v. Commissioner of Sales Tax, U.P. [1979] 44 STC 228, in which an Honourable singl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... basis even though the courts may think that it is not the most appropriate basis, the estimate made by the assessing authority cannot be disturbed. In the present case, there is no dispute that the assessee's accounts were rightly discarded. We do not agree with the High Court that it is the duty of the assessing authority to adduce proof in support of its estimate. The basis adopted by the Sales Tax Officer was a relevant one whether it was the most appropriate or not." In the case before the Supreme Court, the assessee's accounts had been rejected. There was an escaped turnover of a period of 19 days to the value of Rs. 31,171.28. Under the State law the taxable turnover was enhanced on the basis of the escaped turnover to Rs. 2,50,000 an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f 15 days. The said case, however, is not applicable to the facts of the present case, as no multiplier had been invoked. We have considered the respective contentions of the learned counsel. In view of the authoritative pronouncement of their Lordships of the Supreme Court afore extracted, there is no escape from the conclusion that the suppressed turnover of Rs. 6,200 during the assessment year provided the basis to be adopted in estimating the turnover and that undoubtedly was a relevant basis. The Assessing Authority having adopted it as such, its view cannot be disturbed by us in view of the suppressed turnover of Rs. 6,200. As is plain, the suppression was not confined to "specified dates" but was related to the assessment period. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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