Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2012 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2012 (9) TMI 8 - AT - Income TaxAddition on account of unexplained sundry creditors – credit balance shown in name of Mr P whose ledger account could not be furnished by assessee - assessee, running a hotel in Bangalore contended that said Mr P was actually managing/conducting the hotel business and had brought certain fixed assets, such as, furniture, kitchen equipments etc. at his cost in the hotel business - cost of such assets was credited to his account – Held that:- It is undisputed that no balance sheet was filed along with the return of income for the AY 2005-06. Copy of the ledger account of Mr P clearly indicate that many of the expenses incurred, relates to various items like, computer, electrification, UPS, furniture and fittings, kitchen equipments, kitchen utensils and other plant & equipment which figures in the balance sheet for the AY 2006-07, which according to the assessee, was acquired in the earlier year. On perusal of the ledger account, many of the items of expenses are on the revenue front and some of the items are on the capital account. For want of supporting credible evidence/confirmation for the amount of expenditure incurred by Mr P and in interest of justice, matter remitted back to file of AO.
|