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2014 (3) TMI 645 - AT - Income TaxAddition towards profit on undisclosed turnover – Held that:- The turnover is reflected in the bank account in the name of the assessee’s proprietary concern, with the assessee itself stating it to be on account of his business, representing receipts - The gross profit rate adopted is disclosed by the assessee per its return of income - no material to the contrary has been led by the assessee at any stage – Decided against Assessee. Non-disclosure of bank account with BOB – Addition u/s 69A of the Act – Unexplained credit –Held that:- Merely because the said account is a savings bank account is not determinative of the matter, more particularly when the account statement states the names of the parties to whom the payments are made, which could have been subject to verification, i.e., in case of doubt, by the Revenue - it is much considered as a part of the assessee’s business as any other – thus, treating the entire cash deposits as arising from the sale proceeds of his business, as claimed by the assessee - the profit element therein at 16% - also, taking the operating cycle as one month, 1/12 of 84% of the turnover in the said account would be a fair estimate - The addition u/s.69A is confirmed to that extent – Decided partly in favour of Assessee.
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