TaxTMI 
TaxTMI 
2014 (5) TMI 533
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....n the following substantial question of law:- "Whether the Sales Tax Appellate Tribunal is correct in deleting the turnover in a sum of Rs. 1,21,17,900/- on the basis of statement given subsequent to the assessment?." 2. T.C.(R). No. 572 of 2006 is admitted on the following substantial question of law:- "Whether the Sales Tax Appellate Tribunal is correct in deleting the turnover in a sum of Rs. 3,85,63,518/- on the basis of statement given subsequent to the assessment?." 3. The assessee herein is in the business of carrying on job work in jewellery items. The nature of the activity of the assessee as a job work was accepted by the Revenue while passing assessment for the assessment years 1995-96 and 1997-98. The present assessm....
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....ee contended that the value of business carried on was only job work on the gold belong to the dealers entrusting work to the assessee to which the assessee had made use of artificial pearls and stones purchased from the registered dealers and hence, there being no sale, the question of treating the transaction as sales did not arise. The assessee contended that in the absence of any purchase of gold and other items for manufacturing gold articles and selling the same, as such, the assessment as though the assessee was a dealer in gold jewellery did not arise. The Appellate Assistant Commissioner referred to the deposition made at the time of search on 5.11.96 from the authorised person that the assessee was not manufacturing jewellery for ....
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....specific orders received from the principal customers. They had also maintained dealer-wise receipt of old gold and maintained issue of old gold vouchers by the dealers. Separate accounts were maintained as records issue of old gold and receipt of new ornaments for every main worker and maintained separate accounts for 18 workers. 10. Referring to the manner in which the gold was issued on orders to the principal / main workers, who in turn handed over new ornaments by raising receipt vouchers, the Appellate Assistant Commissioner pointed out that the assessee had maintained delivery bills to the principal dealers, placing orders, and in the delivery bills the specific items of jewels, gross weight, net weight, wastage cooly charges were....
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.... accounts in respect of each dealer who placed orders and each main worker to whom job work was entrusted. It however pointed out to the admission of the assessee that he could not maintain details accounts for each type of jewel entrusted for embedding and polishing to the sub workers. The written pages in the book marked 'A' contained details of description of jewels with their gross weight, net weight and weight of stones. The various numbers, description, quantity of each type or class of jewel were also mentioned therein which could be compared with the following accounts maintained by the assessee:- "(i) Order forms received from the dealers (ii) Receipt vouchers maintained by the assessee in receipt of various jewels fr....
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....the Revenue had accepted the nature of the transactions as works contract. The Tribunal pointed out that the Revenue had not adduced any materials to prove sales by the assessee or receiving consideration therefor. In the absence of any evidence that the assesee effected sale/ purchase of jewellery item, the details contained in book marked 'A' could not be treated as evidence of sales. The Tribunal pointed out that the assessee had proved that the names noted in the book marked 'A' referred to sub artisans, whose existence had also been proved by evidence. In the background of the said facts, after going through the details in the book marked 'A' as well as in the statement recorded at the time of inspection, wherei....
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....d not be in any manner be disputed by the Revenue. Thus, a reading of the order of the Tribunal, shows that the Tribunal had gone into the records to hold that the business of assessee consistently being one of a job work, there was no material to hold otherwise. Being pure question of fact, we do not find any justification to accept the plea of the Revenue to set aside the order of the Tribunal. 16. As regards stock variation as well as alleged suppression on the basis of 20 slips, we have gone through the order of the Tribunal as well as the Appellate Assistant Commissioner, who had dealt with the issue in depth. The Revenue does not deny as a matter of fact, that the details given by the assessee in support of the entries represented ....