2016 (6) TMI 988

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... relating to the branch office were declared in the account books maintained by the main office and there was no suppression of turnover. In such circumstances, no attempt is made by any of the authorities or by the Tribunal to address on these arguments/contentions advanced by the assessee. Non-furnishing of the branch certificates would not suffice to enhance the declared turnover unless supported by suppression of turnover. Demand set aside - matter remanded back - Decided in favor of assessee.
MR. ASHOK B. HINCHIGERI AND MRS. S. SUJATHA, JJ For the Petitioner : Sri L.B. Bannikoppa, Advocate For the Respondent : Sri A. Syed Habeeb, AGA ORDER MRS. S. SUJATHA, J These revision petitions are preferred by the assessee challenging the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... and perused the material on record. 5. Sri L.B. Bannikoppa, learned counsel appearing for the assessee contends that the non-production of branch certificates would not be a basis for the assessing authority to reject the books of account and conclude the assessment by best judgment, enhancing the declared turnover by 10%. It is also contended that the best judgment assessment does not reveal any reasons for the enhancement made. Learned counsel further submits that the assessing authority wrongly levied penalty under Section 72 of the Act without any basis. The First Appellate Authority and the Tribunal without examining the contentions of the assessee in right perspective dismissed the appeals. 6. On the other hand, Sri Syed Habeeb lear .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ed by the authority while arriving at the conclusion and determining the turnover. This vital aspect is lacking in the present case. 8. At this juncture, it is significant to note that in the judgment of H.M. Esufall, H.M. Abdulali's case (supra) referred by the learned counsel appearing for the revenue, the Apex Court was considering the case of suppression of turnover and the same being admitted by the assessee. In that context of the case, the best judgment assessment made by the assessing authority was upheld, noticing that the estimation made by the authority was not arbitrary and had nexus with the facts discovered. But in the present case, we do not see any such nexus established by the authorities to the estimation made enhanci .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X