PRAKASH TATIA,J. - (1.) HEARD learned Counsel for the parties.
(2.) THE law point raised by the Revenue in the present revision is whether the Tax Board was right in holding that the appeal preferred by the Revenue in the matter of provisional assessment proceedings became infructuous after the final assessment order made under Section 29 of the Rajasthan Sales -tax Act, 1994? Brief facts of the case are that a survey was undertaken on 15th May, 1997 at the business premises of the respondent/assessee and during the course of survey, incriminating documents were found. In survey, it was found that there were discrepancies in the books of account. The proceedings for provisional assessment of tax under Section 27 of the Rajasthan Sales -tax Act, 1994 (for short 'the Act of 1994') were initiated. Due notice was given to the assessee in the provisional tax assessment proceedings and tax liability of the assessee was assessed by the assessing authority by order dt. 11th Aug., 1997 holding that the assessee sold timber of Rs. 5,01,137 and its entry has not been made in the books of account and by that, the assessee has avoided payment of tax. The tax liability was assessed as Rs. 50,114 and a penalty of Rs. 1,00,228 was imposed and interest of Rs. 8,841 was charged. In all, the liability was assessed at Rs. 1,59,183.
(3.) THE assessee preferred appeal before the Dy. Commr.(A), Commercial Taxes, Jodhpur. The appellate authority by order dt. 17th March, 1998 partly allowed the assessee's appeal and held that out of sale of Rs. 5,01,137, the assessee has verified and accounted for sale of timber of Rs. 3,31,833. Consequently, the appellate authority reduced the tax, as well as interest and penalty proportionately.;