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2012 (9) TMI 60 - AT - Income TaxAdhoc addition made towards trading results – decline in G.P. rate by 0.07% - overvaluation of stock - Held that:- Over valuation of closing stock cannot be a reason for making addition to the trading results because over valuation would itself result into higher profits. Similarly, the figure of opening stock can also not be interfered. No other specific defect has been pointed out by the AO and addition seems to be merely on adhoc basis, which cannot be made as per the law. Deletion of addition made on estimation basis is directed. Addition u/s 40(a)(ia) – non-deduction of tax at source from Freight Charges – assesse placing reliance on Merilyn Shipping & Transports (2012 (4) TMI 290 - ITAT VISAKHAPATNAM ) – Held that:- It is not clear from records whether the amount was paid during the year or not. Matter remitted back to file of AO Addition on account of low Household withdrawals – Held that:- In the present inflationary times, some minimum withdrawals are required by everybody. Since no details of withdrawals have been furnished, addition of Rs.1,00,000/- is restricted to Rs.50,000/- - Decided partly in favor of assessee
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