Appreciation of evidence in consignment sale disputes can bar a substantial question of law when findings are not perverse.

Findings based on appreciation of evidence were upheld where the Tribunal accepted consignment sale transactions as genuine on the strength of proforma invoices, gate passes, lorry receipts, Form 45A declarations, bank entries, and F Forms, together with the Maharashtra Government report. As those findings were supported by the record and were not shown to be perverse or contrary to evidence, they did not give rise to any substantial question of law. The tax appeal therefore failed and the Tribunal's order in favour of the assessee remained undisturbed.

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Issues: Whether the Tribunal was justified in holding the consignment sale transactions genuine and in concluding that no additional tax, interest or penalty was payable, and whether any substantial question of law arose from the Tribunal's findings.

Analysis: The Tribunal, after remand, reappreciated the material on record and recorded findings that the assessee had produced proforma invoices, gate passes, lorry receipts, declarations in Form 45A, bank statements showing debit and credit entries corresponding to the movement of goods and receipt of payment, and F Forms issued by the competent authority. The Tribunal also considered the report of the Maharashtra Government and, on the basis of the documentary evidence, accepted the transactions with the concerned parties as genuine. Those findings were based on appreciation of evidence and were not shown to be perverse or contrary to the record.

Conclusion: The Tribunal's finding of genuineness of the consignment sale transactions was upheld, and no substantial question of law arose.

Final Conclusion: The tax appeal failed and the Tribunal's order in favour of the assessee was left undisturbed.

Ratio Decidendi: Findings resting on appreciation of evidence, if supported by the record and not perverse, do not give rise to a substantial question of law.

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