M/S Dayal Traders vs. Commissioner Of Commercial Tax
Held
The Tribunal correctly rejected the assessee's defense as the assessee failed to prove the documents did not relate to them and did not discharge the burden of proof under Section 16 of the Act. The Tribunal's reasoning for disbelieving the defense was not perverse.
Facts
An inspection at the premises of M/s Dayal Traders revealed documents related to the sale of Pan Masala and Gutkha that were not reflected in the assessee's books. The assessee claimed these documents belonged to independent hawkers, but the Tribunal rejected this defense.
Key Issues
Whether the Tribunal erred in rejecting the assessee's defense regarding documents found at their premises, and whether the assessee could be held liable as a manufacturer or seller of goods not covered by the VAT Act.
Sections Cited
Section 2 (u), Section 16
AI-generated summary — verify with the full judgment below
Court No. - 58 Case :- SALES/TRADE TAX REVISION No. - 248 of 2018 Applicant :- M/S Dayal Traders Opposite Party :- Commissioner Of Commercial Tax Counsel for Applicant :- Praveen Kumar Counsel for Opposite Party :- C.S.C.
Hon'ble Ashwani Kumar Mishra,J.
This revision is directed against an order of the Tribunal dated 19.6.2018 passed in Second Appeal No. 274 of 2018 relating to financial year 2014-2015. Revisionist is a registered dealer engaged in the sale and purchase of Pan Masala, Gutkha etc. An inspection is said to have been conducted at the premises of the revisionist on 6.1.2015, wherein, document nos. 4, 5, 6, 7, 8, 9, 10, 14, 15, 16, 17, 18 and 19 relating to the concerned year have been found, which related to sale of Pan Masala, Gutkha etc. and had not been reflected in the books of account of the assessee. The assessee has taken a defence before the authorities that these transactions/ records do not relate to the revisionist inasmuch as all such materials relates to independent hawkers who usually kept their records in the premises of the revisionist during night. Affidavits of these hawkers have also been filed before the Tribunal. The Tribunal, however, has not
The judgment continues below.
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