https://www.taxtmi.com/caselaws?id=405904 Purchase tax assessment under the Tamil Nadu VAT Act could not rest on a proportionate formula and guesswork where the assessing authority could have required transaction-wise records to segregate taxable local purchases. Best judgment assessment is justified only when relevant records are unavailable and estimation is unavoidable; on these facts, the authority's approach was arbitrary rather than a lawful assessment exercise. The Madras HC therefore held the assessments unsustainable, quashed the impugned orders, and remitted the matter for fresh assessment on the basis of proper records and lawful determination. en-us Mon, 15 Mar 2021 00:00:00 +0530 Fri, 22 Oct 2021 12:44:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=405904 Purchase tax assessment under the Tamil Nadu VAT Act could not rest on a proportionate formula and guesswork where the assessing authority could have required transaction-wise records to segregate taxable local purchases. Best judgment assessment is justified only when relevant records are unavailable and estimation is unavoidable; on these facts, the authority's approach was arbitrary rather than a lawful assessment exercise. The Madras HC therefore held the assessments unsustainable, quashed the impugned orders, and remitted the matter for fresh assessment on the basis of proper records and lawful determination. Case-Laws VAT and Sales Tax Mon, 15 Mar 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=405904