IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE P.S.GOPINATHAN MONDAY, THE 12TH JULY 2010 / 21ST ASHADHA 1932 ST.Rev..No. 126 of 2010() ------------------------- TA.326/2008 of S.T.A.TRIBUNAL,ADDL.BENCH,KZD. .................... REVISION PETITIONER/APPELLANT/ASSESSEE ---------------------------------------------------------- 1. M/S MAHNOOR TIMBERS,MOORIYAD, CHALAPURAM.P.O,CALICUT,REPRESENTED BY ITS MANAGING PARTNER T.V.ABDUL GAFOOR. 2. T.V.ABDUL GAFOOR,AGED 64 YEARS, S/O.LATE KUNHALAN HAJI,ALSHAN,MANKAVU.P.O, CALICUT-673007. BY ADV. SRI.M.N.SANJITH SRI.JAISON JOSEPH RESPONDENT(S): RESPONDENTS/REVENUE ---------------------------------- 1. THE DISTRICT COLLECTOR,COLLECTORATE, KOZHIKODE. 2. THE DEPUTY COMMISSIONER(APPEALS), COMMERCIAL TAXES,KOZHIKODE. 3. SALES TAX OFFICER,VTH CIRCLE, COMMERCIAL TAXES,KOZHIKODE. 4. DEPUTY TAHSILDAR(R.R),KOZHIKODE. BY G.P. SRI. MOHAMMED RAFIQ THIS SALES TAX REVISION HAVING COME UP FOR ADMISSION ON 12/07/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C .N. RAMACHANDRAN NAIR, & P.S. GOPINATHAN, JJ. -------------------------------------------- S. T. Rev. No. 126 of 2010 -------------------------------------------- Dated this the 12th day of July, 2010 JUDGMENT Ramachandran Nair, J. Question raised is against assessment of closing stock of Rs. 11,41,478/- . Even though assessee did not account any purchase, closing stock was shown in the return for the year 2004-05. However on inspection carried out, physical stock was not found and consequently sale was presumed and assessment made. However, on appeal, the first appellate authority deleted the addition towards gross profit and freight against which department did not file appeal. The assesee's second appeal challenging the assessment confirmed in first appeal was rejected by the Tribunal for the reason that no evidence was produced to establish loss of closing stock or damage or ruin to the timber which the petitioner could not establish. We do not find any scope for interference with the Tribunal's order whereunder the assessment of closing stock was sustained for the reason that assessee has no explanation for the disappearance of closing stock. The next STRev. 126/2010 2 issue pertains to interest demanded under Section 23(3A) of the KGST Act which is statutory liability on the actual tax found payable. We do not find any ground to interfere with the findings of the Tribunal on both the issues. Consequently Revision is dismissed. (C.N.RAMACHANDRAN NAIR) Judge. (P.S. GOPINATHAN) Judge. kk STRev. 126/2010 3