Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2010 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2010 (11) TMI 372 - AT - Income TaxEstimation of net income - @8% of gross receipts as per provisions of section 44AD - Powers in Section 250(4) - Rule 46A - The AO has determined the income of the appellant company by applying net profit rate of 8% on the gross business receipts, on the lines of the provisions of section 44AD of the Act - However, the assessee has produced his Cash book, Ledger and Journal alongwith details of receipts and expenses. The assessee also filed some of the vouchers/bills which have been test-checked with the books of account - Observed that the AO has nowhere stated in the remand report that some of the vouchers and bills were not maintained or were not available with the assessee or that these were not produced despite specific directions - The AO has not pointed out the bills and vouchers, which were not produced - Hence, the ld. CIT(A) has not violated the provisions of Rule 46A of the Income-tax Rules,1962 as submitted by the ld. Counsel for the assessee - The ld. CIT(A) has exercised his powers mentioned in Section 250(4) of the Act, which provides that the ld. CIT(A) may remand the case to the AO and call for a remand report on the assessment generally or on certain points - In view of the remand report, the ld. CIT(A) was justified in allowing the appeal of the assessee - Hence, dismissed the appeal of the Revenue.
|