TMI Blog2010 (3) TMI 918X X X X Extracts X X X X X X X X Extracts X X X X ..... al statements are prepared would be sufficient compliance for the purposes of Section 44AA of the Act even though such statements would not accurately take into account expenditure, other payments and receipts etc.? Held that:- Perusing the reasoning given by the Tribunal and also the relevant provision of law with regard to the maintenance of books of accounts. As already stated, in the absence of there being any prescribed format for the various professions as stated in the said section are entitled to maintain books of accounts in terms of the nature of the business or profession carried on by the various categories mentioned therein. In the instant case, since on the basis of the books of accounts produced by the assessee, the Assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g receipts and the turnover certificate based on which financial statements are prepared would be sufficient compliance for the purposes of Section 44AA of the Act even though such statements would not accurately take into account expenditure, other payments and receipts etc.? 2. The assessee is a Civil Contractor. For the assessment year 1999-2000 he had declared a turnover of Rs. 1,66,55,892/-. The said return was submitted without a Tax Audit Report. The Assessing Officer, on noticing that the assessee had not maintained books of accounts as prescribed under Section 44A of the Income Tax Act, proceeded to initiate penalty proceedings under Section 271A of the Act. Pursuant to a notice issued to the assessee, a reply was given that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Gazette has to maintain books of accounts and other documents, in order to compute his total income in accordance with the provisions of this Act. No where in the said Section is it stated that the books of accounts have to be maintained as per the prescribed format. This is not a case where no books of accounts were maintained at all. On the other hand, it is contended by the learned counsel for the Revenue that the books of accounts were not maintained as per the prescribed format. Although books of accounts had to be prescribed such books had not been prescribed under the Rules for the business of civil contracts, in which the assessee is engaged. The Tribunal has considered the said question and has concluded when no prescribed format ..... X X X X Extracts X X X X X X X X Extracts X X X X
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