Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2016 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (7) TMI 1506 - ITAT LUCKNOWAdmitting of additional evidences under Rule 46D r.w.s. 250(4) by CIT-A - whether CIT-A has not given an opportunity to the Assessing Officer? - HELD THAT:- We noted from the order of CIT(A) that in this case the assessee made the written submissions before the CIT(A) and the CIT(A) asked for the remand report of the Assessing Officer. The Assessing Officer has given the remand report dated 16/072014. The said remand report has been produced by the CIT(A) under para 6.1 page 13 of his order. In view of this fact, it is not the case where the CIT(A) has not given an opportunity to the Assessing Officer. We, therefore, dismiss ground No. 1 taken by the Revenue. Bogus purchases - quantitative reconciliation has been filed about the purchase and sales - tax on the real income - HELD THAT:- This is a case where the AO has not rejected the books of account of the assessee. The assessee has submitted all the details of the purchases and the sales. All the quantitative details of purchase and sales were filed. The books were duly produced before the Assessing Officer which were not rejected. The sales has been accepted by the Assessing Officer during the year. It is also not denied that the purchases have been made by the assessee for the purpose of sales. If the sales has been accepted by the Assessing Officer and quantitative reconciliation has been filed about the purchase and sales, the assessee cannot make the sales without making the purchase. The Revenue has to levy the tax on the real income. The income has to be computed only by deducting out of the gross receipt the expenses incurred by the assessee including the purchases. The assessee has made purchases not only from M/s Annapurna Trading Co. but from 13 parties. None of the parties were held to be bogus. If the purchases are to be recorded to be bogus, the assessee, in our opinion, cannot make the sales. Without purchase being made, the sales cannot be made. This is not the case where the assessee has not given quantitative details in respect of purchase and sales and quantitative details are not tallied. In view of this fact, we do not find any infirmity or illegality in the order of CIT(A) in deleting the addition - Decided against revenue
|