2007 (3) TMI 718

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....as brought on record on the basis of the survey dated May 5, 1997. At the time of survey one Sri Pramesh Chandra Gupta was present. As per survey report he told that per day sale was Rs. 400 only. Immediately, after the survey, the applicant Sri Naresh Chandra Gupta filed reply dated June 10, 1997 stating therein that inadvertently in the survey report the name of Sri Pramesh Chandra Gupta has been mentioned as proprietor. It was also stated that the business was started one month back and per day sale was Rs. 300 and by mistake it was mentioned at Rs. 400. It was submitted that he himself manufactures goods and since the sale is less, he had not employed any person. Since Sri Pramesh Chandra Gupta, who was present at the time of survey had....

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....e submitted that after the submission of the objection no action was taken by the assessing authority. The assessing authority neither directed the applicant to apply for the registration nor issued any notice for the provisional assessment and when in the year 1999 the final assessment order was passed estimating the total turnover above the taxable limit, penalty notice under section 15A(1)(g) of the Act was issued. He further submitted that under the bona fide belief the applicant could not apply for the registration and, therefore, the penalty is not justified. Learned Standing Counsel submitted that the applicant was brought on record on the basis of the survey dated May 5, 1997 in which brother of the proprietor Sri Pramesh Chandra....