The New York State Tax Appeals Tribunal has affirmed the decision of an ALJ upholding an assessment of sales tax and penalties, finding that the petitioner's records were inadequate and that the Department's reliance on an estimation method was reasonable. Matter of Zohir Laham, DTA No. 825802 (N.Y.S. Tax App. Trib., Oct. 27, 2016). Although some register tapes and other records were eventually provided at a courtesy conference afforded to the petitioner after the assessments had been issued and become final, these were also deemed inadequate, and the petitioner admitted at the conference that the business kept no formal books or records and could not explain how sales had been reported. The Tribunal upheld the assessments, finding that, in the absence of auditable books and records, the Department's estimate, based on the auditor's observation of items displayed for sale and her experience with similar establishments, was reasonable and that, in light of the "clear failure to maintain records" as required, the petitioner had failed to demonstrate any basis to set aside the penalties based on reasonable cause and good faith.