TaxTMI 
TaxTMI 
TaxTMI 
2009 (11) TMI 845
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.... as on commission. The said business is registered under section 8A of the Act. On June 28,. 2003, the business premises of the applicant was surveyed by a team of Special Investigation Branch (SIB), Trade Tax, Bareilly which found 180 quintals of foodgrains in 180 bags, were being loaded on a truck No. HR 046/9342, and 926 quintals of wheats were stored at a nearby godown. In all 1,056 bags were found. For verification of the said stock, books of account were asked for, but they were informed that it was locked in an almirah, and the owner Atul Kumar Mishra has gone out to Shahjahanpur along with keys, therefore, the stock at the time of survey could not be verified from the books of account. A show-cause notice under section 13A(3) of t....
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....y report as filed, states that a survey was conducted at M/s. Ashish Khadyan Bhandar, shop No. 8A at sub-Mandi Banda, Powaya, Shahjahanpur on June 28, 2003. One Sarvesh Kumar, S/o. Munshi Lal Munim, an employee of the applicant, was present. Upon asking for the books of account, he informed that the proprietor of the firm, Shri Atul Kumar Mishra is in Shahjahanpur and there are no books of account here ("Yahan koi hisab-kitab nahi hai"). He also informed that in truck No. HR46/9342, 130 bags of wheat have been loaded and 50 more bags will be loaded for being sent to Shahjahanpur. These goods were being loaded from a godown of shop No. 14A. It was informed that the said godown has been taken on rent by the firm. Upon inspection of the godown....
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.... bahi" it was found that for the month of May, 2003 up to June 26, 2003, no purchase of goods has been entered. On June 26, 2003, the goods from farmers, namely, Prem Lata, Bholey Nath, Ram Avtar, Chheda Lal and Shamsher Singh, have been received in the quantity of 50 quintals, 30 quintals, 100 quintals, 180 quintals and 200 quintals, respectively, and on June 27, 2003, the goods from farmers, namely, Jalil Khan, Babu Ram and Sher Singh, have been received in the quantity of 170 quintals, 300 quintals, and 300 quintals, respectively. A finding has also been recorded that none of the aforesaid entries of goods brought within the mandi area is verifiable from the mandi records except only for goods of Prem Lata and Bholey Nath 50 quintals and....
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.... demand, and therefore, this factor alone cannot be determinative of the fact that the goods found were not duly accounted for. He stated that the books of account although were kept in the business premises, but due to the fact that the proprietor of the firm had gone to Shahjahanpur taking the keys with him could not be shown. On first opportunity even before the date fixed by the survey team, the same was shown to the concerned authority. The learned counsel has relied upon a decision in the case of Commissioner, Trade Tax, U.P., Lucknow v. Arihant Traders, Station Road, Lalitpur, reported in [2009] 21 VST 391 (All); [2007] 33 NTN 290. The facts of the case were that certain goods in transit were detained and the dealer was asked to pro....
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....payment of such goods, and therefore, it was held that the aforesaid transaction was in the nature of inter-State and not intra-State. This court held that the goods were accounted for in the books of account and were relatable to the dealer. The only question for consideration was whether the said transaction could be assessed to tax in the Provincial Act or under the Central Sales Tax Act. This could not have been made ground for levying penalty under section 13A(4) of the Act. The facts of the aforesaid two cases are distinguishable and do not apply on the facts of this case inasmuch as in both these cases the goods were being transported from one destination to another and in both cases the goods were relatable and identifiable for the ....