V. V. Vanniaperumal & Sons Vs State of Tamil Nadu (Madras High Court)
Madras High Court held that Appellate Assistant Commissioner is not justified in remanding the matter since authority has recorded a clear finding that explanations offered by assessee were very satisfactory. Accordingly, order remanding the matter quashed and appeal is allowed.
Facts- The petitioner, engaged in the manufacture and sale of gingelly oil, gingelly seeds, and gingelly oil cakes, reported a total turnover of Rs. 48,46,72,931/- and taxable turnover of Rs.37,26,69,966/- for the assessment year TNGST 1996-97. During an inspection, 39 slips of paper under D7 acknowledgment, detailing business transactions, were found, along with variations in stock. Subsequently, the Assessing Authority issued a pre-assessment notice proposing additions for sales suppression and probable omissions. The petitioner explained that the entries in the slips were either already accounted for or unrelated to sales transactions. However, the explanations were rejected, and the best judgment assessment was made, adding sales suppression and omissions.
The Appellate Assistant Commissioner, while acknowledging that the explanations were satisfactory, remanded the case back to the Assessing Authority, directing it to furnish copies of the D7 slips to the petitioner and pass a fresh assessment order. By order dated 30.08.2011, the Appellate Tribunal dismissed the second appeal filed by the petitioner, thereby sustaining the remand order passed by the first appellate authority. Challenging the order passed in Appeal No.49 of 2003 for GST for the year 1996-97, the petitioner is before this Court.
