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2016 (7) TMI 1316 - ITAT CHANDIGARHUnexplained marriage expenses - not allowing set off of addition against surrendered income made by the assessee - Held that:- In the absence of any specific material found against the assessee and in the absence of any basis for estimating addition of ₹ 1 lac, the addition of ₹ 1 lac is wholly unjustified. Accordingly, set aside the orders of the authorities below and delete the addition of ₹ 1 lac on account of unexplained marriage expenses. Further, the assessee made alternate claim that addition of ₹ 1 lac may be set off against additional income surrendered of ₹ 1 lac in the return of income. Since the addition on account of marriage expenses has been deleted, therefore, the alternate contention of the assessee has become infructuous and need no further adjudication. Addition on account of gross profit - Held that:- Assessee surrendered ₹ 1 lac on account of discrepancies in the books of account, therefore, when authorities below have made addition of ₹ 1,24,214/- by rejecting the book results of the assessee, set off of ₹ 1 lac declared as additional income should be given to the assessee. Otherwise, it would amount to double addition. In this view of the matter, I set aside and modify the orders of authorities below and direct the authorities below to give set off of ₹ 1 lac to the assessee on account of additional income surrendered in the return of income on account of discrepancy in the books of account. It would result that addition of ₹ 1,24,214/- would be restricted to ₹ 24,214/- only. The Assessing Officer is, therefore, directed to make addition of ₹ 24,214/- only as against addition of ₹ 1,24,214/-. In the result, appeal of the assessee is partly allowed.
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