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2015 (10) TMI 1001 - ITAT DELHIUnexplained investment in stock - CIT(A) deleted the addition - Held that:- The additional evidence admitted by the Ld. CIT(A) in the form of delivery challans issued by the supplier M/s Liberty Hosiery Mills Pvt. Ltd. These evidences and the discrepancies pointed out by the A.R. in the evidences collected by the AO form the supplier, lead him to arrive at a considered view that the goods were supplied by M/s Liberty Hosiery Mills Pvt. Ltd. to the assessee in the month of August, 1998 and not in the month of November, 1998 as claimed by the AO. Therefore, Ld. CIT(A) has rightly held that there remains no ground for an addition to the income of the assessee u/s. 69 of the Act and hence, deleted the said addition - Decided in favour of assessee. Addition on account of alleged profit 220% on sale of stock of ₹ 75 lacs in domestic market - CIT(A) deleted the addition - Held that:- The goods purchased from M/s. Liberty Hosiery Mills Pvt. Ltd. in the month of August, 1998 were exported by the appellant in the same month, there was no stock left with the appellant for further sale after August, 1998. Moreover, the addition has been made on the basis of suspicion, conjectures and surmises, as no evidence has been brought on record by the AO of any domestic sale by the appellant. We find that the AO has only assumed that since the goods worth ₹ 75 lacs were supplied by M/s. Liberty Hosiery Mills Pvt. Ltd. in the month of November, 1998 and not in the month of August, 1998, therefore, the asssessee has not only invested unaccounted money in purchase of goods worth ₹ 75 lacs in August, 1998, which were exported and the goods receive by them from the supplier in the month of November, 1998, must have been sold in the local market, earning a profit @ 20%thereon. This theory of the AO has already been discarded, once it is held that the goods worth ₹ 75 lacs were received by the assessee from the supplier in the month of August, 1998 only and these very goods were exported on 13.08.1998. Therefore, the question of earning any profit on any domestic sale does not arise at all. Hence, Ld. CIT(A) has rightly deleted the said addition. - Decided in favour of assessee. Recalculate the deduction u/s. 80HHC - assessee has challenged the incorrect computation of the deduction admissible u/sw. 80HHC of the Act, which was restricted to ₹ 1.75 crores as against the original claim of the assessee at ₹ 2.48 crores - Held that:- CIT(A) has rightly directed the AO to recomputed the deduction admissible u/s. 80HHC of the Act to the assessee after proper effect to this appellate order. In our considered opinion, the Ld. CIT(A) has passed a well reasoned order - Decided in favour of assessee. Additional evidence of the assessee under Rule 46A of the I.T. Rules rejected - Held that:- We find that the AO stated in the Remand Report that these documents had already been considered at the time of original assessment. In the rejoinder, the AR of the assessee submitted that since all the documents filed along with the application under Rule 46A had been considered at the time of original assessment, the same was also considered by the Ld. CIT(A) after considering the Remand Report and the Rejoinder of the Ld. Counsel of the assessee and rightly allowed the additional evidences filed by the assessee. In our considered opinion, the Ld. CIT(A) has passed a well reasoned order which does not need any interference - Decided in favour of assessee.
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