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2018 (3) TMI 143 - ITAT VISAKHAPATNAMDepreciation on estimated income - Held that:- In this case the income was computed estimating the income @ 8% on total receipts. CIT(A) has directed the A.O. to make the addition of depreciation as per law after giving opportunity to the assessee. Therefore, the CIT(A) has followed the law laid down by the higher judicial forum allowed the appeal of the assessee. In the assessee’s case for the assessment year 2008-09, the jurisdictional Tribunal has allowed the depreciation from the estimated income. In the case of Y. Ramachandra Reddy (2014 (9) TMI 205 - ANDHRA PRADESH HIGH COURT) held that the depreciation is required to be allowed from the estimated income. Therefore, the CIT(A) has followed the order of this Tribunal in assessee’s own case, hence, we do not find any reason to interfere with the order of the Ld. CIT(A) and the same is upheld. The appeal of the revenue on this ground is dismissed. Addition towards unproved loan creditors - Held that:- As per the information available from the CIT(A)’s order, the assessee has submitted the complete information to the A.O. with regard to both the credits. Copies also submitted to the CIT(A) the Ld. CIT(A) after verifying the PAN card, bank account, IT return and all the relevant details held that the loans were not squared up and the assessee has established the identity of creditors, capacity and the genuineness of the transactions. Therefore, we do not see any reason to interfere with the detailed and well reasoned order of the Ld. CIT(A). Accordingly, the order of the Ld. CIT(A) is upheld and the appeal of the revenue is dismissed.
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