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2013 (9) TMI 226 - AT - Income TaxAdmission of revised return - Wrong contract receipt - Held that:- The Assessing Officer has disregarded this revised return on the sole ground that after processing of return u/s 143(1)(a) of the Act, revision made as such cannot be taken as valid. Admittedly, when the processing of a return does not amount to an assessment as has also been held by the Hon'ble Apex Court in the case of Rajesh Jhaveri Stock Brokers (P.) Ltd. (2007 (5) TMI 197 - SUPREME Court), the Ld. CIT(A) on the peculiar facts and circumstances of the case, cannot be said to have erred in admitting the revised return as a valid return and requiring the Assessing Officer to proceed on that basis - Decided against Revenue. Rejection of books of accounts - Estimation of income - Works contract - Held that:- The Assessing Officer is not found to have made any adverse comment nor recorded any finding on such verification aspect but made casual remarks only that the consumption of materials is not verifiable. In fact, in the appellant's case, all the quantitative details were duly appended with the audit report and were laid by the assessee alongwith return of income filed by it. Under these circumstances, the Assessing Officer could not have estimated income by applying a higher gross profit rate on this count even after the accounts stood rejected for some technical reasons. - Decided against the revenue. The appellant, therefore, has contested that the true profits can be deduced from the rejected accounts as well. We, therefore, having regard to the judgment rendered by the jurisdictional High Court in the case Kanhaiaya Lal Jangid v. Asstt. CIT (2007 (1) TMI 496 - HIGH COURT OF RAJASTHAN) and considering the over all conspectus as well as circumstances and peculiar facts of this case and also the earlier in issued judgments, find no rational in such estimation in the impugned year. We, therefore, consider it reasonable to estimate the profit for the peculiar year under consideration by making a disallowance of expenses of Rs. 10 lacs and modify the trading addition sustained by the Ld. CIT(A) - Decided partly in favor of assessee.
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