TMI Blog2022 (5) TMI 1153X X X X Extracts X X X X X X X X Extracts X X X X ..... ught to have verified by making necessary inquiry about the correctness of claim of the assessee. No finding is given on the evidences filed by the assessee regarding the genuineness of evidences filed by the assessee. Hence, looking to the totality of facts, the addition was made purely on the basis of conjectures and surmises. Such action is not permissible under law. The Revenue ought to have brought adverse material on records to rebut the claim of the assessee. In the absence of such evidence, the impugned additions cannot be sustained. Hence, the AO is hereby directed to delete the addition. The grounds raised in the assessee's appeal are thus, allowed. - Appeal of assessee allowed. - ITA No. 4132/Del/2019 - - - Dated:- 17-5-202 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... notice was issued bearing date 19-12-2016, which has been taken as basis of impugned addition and therefore addition made on the basis of an invalid show cause notice is bad in law. 4. That the CIT (Appeals) has erred in law and on fact, in confirming the order of assessment under section 143(3) of the Act, without appreciating the fact that AO while making impugned assessment order has flouted the observations made by the Honorable Allahabad High Court in case of V.K. Packaging vs. TRO and others (266 ITR 283) and passed the order in a hurry. Further, the impugned addition has flouted the fundamental policy of Indian law which say the following principles must be strictly followed in passing any order: a. Judicial approach b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ndividual and is engaged as partner in the business of manufacturing of shoes under the name Zoomtech Industries who filed return of income declaring income at Rs. 28,23,260/- on 24.03.2015. Subsequently, the case was selected for limited scrutiny through CASS. Notice u/s. 143(2) of the Income Tax Act, 1961 ( the Act ) was issued and duly served upon the assessee. Another notice u/s. 142(1) of the Act was issued on 31.05.2016 to the assessee. IN response to the statutory notices, Ld. Authorized representative of the assessee, Shri Amit Rastogi, CA appeared from time to time and furnished details/information/evidences which were placed on records. During the course of assessment proceedings in order to verify the correctness of income/expe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ectness of claim and rebutting the evidences based his finding on certain statistical data. No material is brought on record by the Revenue to rebut the claim of assessee, regarding having higher yield of crops. 9. In my considered view, the statistical data may reflect the trend but cannot be a conclusive proof regarding crop yield. There remains a sharp decline and rise in the yield of crops influenced by various factors. The AO ought to have verified by making necessary inquiry about the correctness of claim of the assessee. No finding is given on the evidences filed by the assessee regarding the genuineness of evidences filed by the assessee. Hence, looking to the totality of facts, the addition was made purely on the basis of conjec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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