1991 (10) TMI 260 - SC - VAT and Sales Tax

Supreme Court Upholds Remittal Decision, Emphasizes Consideration of All Factors in Assessment Process

The Supreme Court upheld the High Court's decision to remit assessment proceedings to the Sales Tax Appellate Tribunal for reconsideration, emphasizing ... Quantum of the estimate on best judgment challenged Held that:- The apprehension of the petitioner that the High Court left little choice to the Tribunal in the matter of the estimate of the gross and taxable turnovers could be allayed by directing the Tribunal that, in disposing of the matter upon remand, it shall while taking due note of the observation of the High Court in regard to the effect of the non-production before the Tribunal of the books of account which the petitioner had obtained back from the authorities during the proceedings, the Tribunal may however, not be hampered by any other observation which might limit its choice of the basis of assessment and shall dispose of the matter in accordance with law on settled principles guiding assessments as best judgment. With these observations, the special leave petition is disposed of. The Supreme Court declined to review the estimated figures of gross and taxable turnover in a best judgment assessment case. The High Court's order remitting the assessment proceedings to the Sales Tax Appellate Tribunal was upheld, with directions for the Tribunal to consider all relevant factors and principles in making its assessment decision. The special leave petition was disposed of accordingly.