9911796707
TMI Blog1987 (12) TMI 336X X X X Extracts X X X X X X X X Extracts X X X X ..... sment was made on best judgment. 2.The following two questions have been raised for the decision of this Court : 1. Whether there was any material to sustain the rejection of account books ? 2.Whether the estimate of sale of rice and rice bran is based on any evidence and is there any material to support the same ? 3.The grounds on which account books were rejected briefly be summarised as under : I. On survey dated 4th January, 1987 an excess cash were found, when compared with the cash book. II. Twentyfour bags and 182 Kilograms of paddy which had arrived on the date of survey was not recorded in the account books, but entries in respect thereof were found on a loose paper. III. The consumption of electr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 377; 4,218 was found. This left a short fall of ₹ 754.24P. It is admitted by the Revenue that before the survey, a payment of ₹ 804/ had been made to some cultivators as was evident from a loose paper which was found at the survey. If this payment was adjusted, the shortfall would disappear. On the contrary there was an excess cash of roughly ₹ 50. However, the controversy arose because the assessee maintained during the survey that against ₹ 804/ it had actually paid ₹ 100 only. The assessee's version was disbelieved as it was contrary to the entries found recorded in the loose paper. On the above facts the difference in cash was considered an adverse material against the assessee. 9.In my opinion, on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the present case. It must, therefore, be held that merely because no entries were made immediately on the arrival of stock or little before the disputed survey, the Sales Tax authorites were wrong in inferring that the assessee was not maintaing its account books in the regular course of business. 12. In this connection another objection taken by the authorities was that the assessee had also not issued Form R6, prescribed under the Mandi Samiti Act, when the purchases of foodgrains were made. The asressee's explanation was that these forms are issued at the end of the day. This explanation was also rejected by saying that a seller would not wait till the evening. None of the authorities have given any basis for such a view. The ..... X X X X Extracts X X X X X X X X Extracts X X X X
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