TMI Blog2013 (4) TMI 368X X X X Extracts X X X X X X X X Extracts X X X X ..... y the assessee towards the Maistry dues is not supported by any material documents. It is only when the matter was remitted back from the first Appellate Authority to the A.O during the pendency of the appeal, the assessee was not in a position to produce those vouchers, reason is that the vouchers were damaged during 2005 floods. - Decided in favor of assessee. - Tax Case (Appeal) No.78 of 2010 - - - Dated:- 8-4-2013 - R. Banumathi And K. Ravichandrabaabu,JJ. For the Appellant : Mr. J. Narayanasamy For the Respondent : Mr. V. S. Jayakumar JUDGMENT This Tax Case (Appeal) filed by the Revenue as against the order of the Income Tax Appellate Tribunal relating to the assessment year 2002-03 was admitted by this Court on the f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Commissioner of Income Tax (Appeals). The first Appellate Authority confirmed the addition of Rs.21,61,740/-. Further appeal preferred by the assessee before the Income Tax Appellate Tribunal came to be allowed. Aggrieved against the said order of the Tribunal, the present appeal has been filed by the Revenue raising the above substantial questions of law. 3. Mr.J.Narayanasamy, learned standing counsel appearing for the Revenue submitted that the excess payment shown as expenditure was not, in fact, shown as income in the Profit and Loss Account and therefore in the absence of matching income shown in the Profit and Loss Account, the addition made by the Assessing Officer cannot be disturbed. He also contended that even otherwise, the e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... supra. He also submitted that the Tribunal, being a fact finding authority, has found that the assessee had been following mercantile system of accounting and these amounts were duly debited to the Profit and Loss Account. When such being a factual finding rendered by the Tribunal, the same need not be interfered with by this Court, as there is no substantial question of law involved in this case. It is also further submitted by him that in any event, there is no revenue loss, as the receipt from BSNL would be shown in the next assessment year as income. 6. Heard learned standing counsel appearing for the Revenue and the learned counsel appearing for the assessee. 7. In this appeal, the Revenue raised two issues. In so far as the first ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... books of account as work-in-progress and especially under the circumstances of following the mercantile system of accounting, we find force in the submission made by the learned counsel appearing for the assessee. Accordingly, the first issue is answered in favour of the assessee and against the Revenue. 10. As far as the next issue, namely, absence of materials to prove the expenses, is concerned, as rightly contended by the learned counsel appearing for the assessee, the Assessing Officer has not found anywhere in the assessment order that the expenses made by the assessee towards the Maistry dues is not supported by any material documents. It is only when the matter was remitted back from the first Appellate Authority to the Assessing ..... X X X X Extracts X X X X X X X X Extracts X X X X
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