1962 (2) TMI 71

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....on sales, as provided under sub-rule (2) of that rule. For the financial year 1952-53, he submitted his returns to the assessing authority in Forms A-3 and A-9. Subsequently he was adjudged an insolvent and his estate vested in the Official Receiver who took possession of his assets along with his records. Against the order of assessment passed by the Original Authority, the assessee preferred an appeal to the Deputy Commissioner (Appeals), Kurnool. While disposing of the appeal, the Deputy Commissioner called upon the assessee to produce his accounts. The assessee referred the Appellate Authority to the Official Receiver. On the basis of the accounts produced by the Official Receiver, the assessee was allowed rebate by deduction of the pur....

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....respect of the same transaction of sale, the buyer or seller but not both, as determined by the rules, shall be taxed. Generally the amount for which the goods are sold by a dealer constitutes his gross turnover. But in the case of certain specified goods, such as groundnut, tax is levied on the purchase turnover. Any dealer who manufactures groundnut oil and cake from groundnut or groundnut kernel purchased by him may register himself as a manufacturer of groundnut oil and cake. Such manufacturer is entitled to a deduction from his gross turnover of an amount equal to the value of the groundnut and (or) kernel purchased and converted by him into oil and cake, provided that the amount for which the oil is sold is included in his turnover an....

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....ot later than the 25th day of every month, a statement in Form A-9 in respect of the transactions relating to the previous month. This is to enable the assessing authority to allow deduction or to fix the amount thereof under rule 18(2). The assessee for reasons of convenience adopted, as he was entitled to under the Madras General Sales Tax Act, a system of payment of tax on provisional assessment based on returns submitted by him in Form A-3 showing the gross and net turnover for the preceding month and the amount or amounts actually collected by him by way of tax or taxes during that month. The return so filed is provisionally accepted by the assessing authority. After the close of the year in which the provisional assessment as laid dow....

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.... dealers who submit their returns every month. In both cases, the final assessment has to be made by the assessing authority after a scrutiny of the accounts and after the authority is satisfied that they are correct and complete. If the argument of the learned counsel is to be accepted, it would mean that in the case of a dealer submitting monthly returns, the assessing authority will not be entitled to scrutinise his accounts, whereas in the case of a dealer submitting annual returns, he would be under a duty to satisfy the authority with regard to the correctness of his accounts. We do not think that the filing of the A-3 returns would absolve the assessee from producing his accounts. The provisional assessment on the basis of the mon....