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2012 (7) TMI 625 - AT - Income TaxAddition on account of unexplained cash credit - CIT(A) deleted the addition - Held that:- The assessee has discharged the onus cast upon him by proving the identity of the creditor, the capacity of the creditor and the genuineness of the transaction. Nothing has been brought on record by the Revenue to controvert the submissions made by assessee - no need to interfere with the order of CIT (A) - against revenue. Addition on account of loss of goods - CIT(A) deleted the addition - Held that:- Goods were destroyed in floods for which the assessee lodged claim with the insurance company and the claim was settled for Rs.16,70,100 - The claim of loss has also been certified by the Assistant Commissioner, Food & Drug Department, thus the view of the CIT (A) that the loss of goods is nothing but deduction made by insurance company as per the policy conditions and therefore the same has to be considered as allowable deduction - against revenue Addition on account of low G.P - CIT(A) deleted the addition - Held that:- The business of assessee is governed by the regulation of Food and Drug Control Act and all records of purchase and sales are subject to verification by those authorities. No discrepancies have been noticed by them. The reasons for fall in GP have not been controverted by the Revenue nor have they brought on record any contrary facts. Though there has been fall in GP but there is increase in the rate of net profits. The Revenue has not pointed out any defects in the books of accounts of the assessee and has accepted its book results - no need to interfere with the order of CIT (A) - against revenue.
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