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2013 (10) TMI 1187 - HC - Income TaxEstimation of income - assessment u/s 158BC after search - Estimated G.P. rate - business of the Sarrafa Held that:- From the record, it appears that the G.P. rate in the trade of the Saraffa in various cases was accepted by the A.O. @ 15% to 25%. So, the CIT (A) has taken the average G.P. Rate @ 20% on the estimated sale and deleted the addition of Rs.20/- lacs which was endorsed by the Tribunal - Estimation is a question of fact as per the ratio laid down in the case New Plaza Restaurant v. ITO [2008 (7) TMI 260 - HIMACHAL PRADESH HIGH COURT]; Sanjay Oil Cake v. C.I.T. [2008 (3) TMI 323 - GUJARAT HIGH COURT] - In view of above, it appears that the A.O. has made the addition of Rs.20.0 lacs on estimate basis. The CIT (A) has deleted the same on estimate basis and the Tribunal upholds the same - estimation is a question of fact Decided against the Revenue. Investment in jewellery seized during the search Held that:- Seized jewellery was claimed by three ladies namely Rupali Rastogi, Smt. Sunita Rastogi; and Smt. Kamni Rastogi. All the ladies belonged to the reputed families and they are married. As per the CBDT Circular discussed in the case of Smt. Pati Devi vs. ITO; [1999 (2) TMI 43 - KARNATAKA High Court], 500gm, jewellery is expected in the possession of a married lady and that much of ornaments cannot be seized. If we go with the CBDT Circular dated 11.05.1994 and the ratio laid down in the case of Smt. Pati Devi (supra), then each lady is expected to own 500gm. Ornaments Decided against the Revenue.
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