https://www.taxtmi.com/caselaws?id=40003 For sales tax purposes, an addition to taxable turnover on the basis of concealed sales requires positive material showing both that the amount is the firm's income and that it arose from transactions liable to sales tax. A mere unexplained cash credit standing in the name of a partner's wife, without further evidence linking it to undisclosed sales, is insufficient. The department cannot rely solely on the absence of a satisfactory explanation by the assessee, the partner, or the wife, because sales tax liability does not arise by presumption from unexplained money in the way sometimes seen in income-tax matters. The addition was therefore not sustainable, and the referred question was answered in favour of the assessee. en-us Mon, 01 Mar 1976 00:00:00 +0530 Sat, 19 Sep 2015 14:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=40003 For sales tax purposes, an addition to taxable turnover on the basis of concealed sales requires positive material showing both that the amount is the firm's income and that it arose from transactions liable to sales tax. A mere unexplained cash credit standing in the name of a partner's wife, without further evidence linking it to undisclosed sales, is insufficient. The department cannot rely solely on the absence of a satisfactory explanation by the assessee, the partner, or the wife, because sales tax liability does not arise by presumption from unexplained money in the way sometimes seen in income-tax matters. The addition was therefore not sustainable, and the referred question was answered in favour of the assessee. Case-Laws VAT and Sales Tax Mon, 01 Mar 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=40003