2016 (8) TMI 668

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....rief facts leading to the revision petition are as follows: Saravana Stores (Fast Food), dealers in food and drinks, were assessed on a total and taxable turnover of Rs. 46,46,105/- for the year 2004-05, under section 3(D)(2) of the Tamil Nadu General Sales Tax Act 1959, by the Deputy Commercial Tax Officer, T.Nagar (South), Assessment Circle, by order, dated 29.12.2005. Subsequently, the place of business of the dealer was inspected by the Enforcement wing officers on 26.02.2005 and they noticed suppression. Based on one day sales, the Assessing Officer has revised the assessment, in his order, dated 27.04.2007, by assessing the turnover of Rs. 1,19,06,049/-, relating to food and drinks, at 2% under section 3(D) of the abovesaid Act and....

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....r dated 28.10.2013, dismissed the appeal, holding that estimation made based on one day sales, for whole-year is not correct, as per the abovesaid decision. 5. Aggrieved by the same, the present Tax Case (Revision) Petition, has been filed, on the following substantial questions of law, (1) Whether on the facts and in the circumstances of the case the Tribunal was right in law in accepting the first Appellate Authority's findings that the sales suppression of food and drinks is at Rs. 9,29,221/- being the 20% of the reported turnover, omitting the estimated suppression of Rs. 72,59,944/- without any logical conclusion for arriving the suppression at 20% on the reported turnover?. (2) Whether on the facts and in the circumstance....

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....e Hon'ble Division Bench in New Kamaliya Hotel's case, the contention of the revenue was that the assessing officer clearly established that there was sales and purchase suppression, and therefore, the estimation made by the Assessing Officer, was just and reasonable and and that the Appellate Assistant Commissioner erred in deleting the entire additions and the restrictions of the appellate authority to only 20%, required reconsideration. 7. After hearing the learned Senior Standing Counsel for Taxes, at Paragraph 4, the Hon'ble Division Bench in New Kamaliya Hotel's case (cited supra), held as follows: "4. We heard the counsel. The Assessing Officer made estimates based on the one day sales. Normally, sales may....

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....pellate Assistant Commissioner, deleted the entire estimation, sustained 20% addition, to the book turnover and brought the assessee to the below tax liability. The revenue filed an appeal before the Tamil Nadu Sales Tax Appellate Tribunal (Additional Bench), Madurai, which dismissed the appeal. The substantial question of law, raised in New Kamaliya Hotel's case (cited supra), was,  whether the Sales Tax Appellate Tribunal is right in approving the reappraisal of evidence made by the first appellate authority dislodging the cogent and convincing reasons given by the assessing officer?  9. Though, in the case on hand, substantial questions of law have been framed slightly in a different manner, facts in New Kamaliya Hotel&#....