9911796707
TMI Blog2021 (4) TMI 412X X X X Extracts X X X X X X X X Extracts X X X X ..... e in this writ petition is to an order passed by the Tamil Nadu Sales Tax Appellate Tribunal (for brevity "the Tribunal") allowing the appeal filed by the State challenging the order reversing the order of the first appellate authority, who set aside the assessment order. 2.Mr.K.Soundararajan, learned counsel appearing for the petitioner would submit that the place of business of the petitioner was inspected by the Enforcement Wing Officials on 16.03.1998 and they recovered certain records based on which, a "D7" proposal was drawn. Based on the report of the Enforcement Wing, the Assessing Officer called upon the petitioner to produce the accounts by issuing summons. Based on the statement recorded by the Enforcement Wing, the matter was r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... w materials, which was not established by the Department. Further, no enquiry was conducted and the assessment is solely based upon estimation, which is erroneous. 6.Mr.Swarnavel, learned Government Advocate appearing for the respondents submitted that the Tribunal has elaborately dealt with the factual findings and has clearly brought out the modus operandi of the petitioner and the facts clearly show that there was sales suppression done by the petitioner and the Assessing Officer was correct in estimating the turnover and assessing the petitioner and this order was erroneously reversed by the first appellate authority and the Tribunal rightly interfered with the order of the first appellate authority and restored the assessment. Theref ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Officer estimated sales suppression at Rs. 6,750/- and assessed the purchase value of Rs. 5,000/- under Section 7A of the TNGST Act, taking note of the statement given by the dealer that they used to effect purchases and used material for manufacture of electrical goods. At the time of inspection, 150kgs of plastic granules was unloaded in the factory and the name of the consignee was Beekay Plastics, Chennai and the Assessing Authority estimated the sale value of electrical goods at Rs. 9,720/- at 16% and assessed the purchase value at Rs. 7,200/- at 4% under Section 7A of the Act. 11.Before the Tribunal, the petitioner contended that the goods on both the occasions were sent for manufacture of finished goods for labour work and the state ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... penalty under Section 12(3)(b) of the TNGST Act is concerned, the Tribunal held that the turnover has been estimated based on the "D7" records recovered from the petitioner and also copy of the bank extracts of the petitioner and the estimation of turnover based on "D7" records recovered from the petitioner, will not come under the category of Explanations (i) and (ii) of Section 12(3) of the TNGST Act so as to exclude the turnover from the levy of penalty. Accordingly, levy of penalty was sustained and the appeal filed by the State was allowed. 13.So far as the assessment is concerned, we find that the Tribunal has examined the facts in its entirety and concluded against the petitioner. We find that the approach of the Tribunal is not pe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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