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2014 (12) TMI 718 - ITAT DELHIAddition made on account of low yield deleted – Held that:- CIT(A) was rightly of the view that the additions are not sustainable because have been made on estimated basis and moreover, the purchase and sales of the Company are verifiable because well recorded in the books of accounts and the AO was totally failure in bringing out any strong reason for such addition - the raw material as well as finished goods of the assessee appellant Co. are excisable and no adverse fact is on records - in the case of both the assessees the finding of the CIT(A) in deleting the addition on the reasoning that no defects were pointed out in the books of accounts of the assessee is justified on facts - no defects have been pointed out by the AO - best low yield could have triggered an enquiry however thereafter it is necessary for the AO to point out specific defects in the books of accounts of the assessee – thus, the order of the CIT(A) is upheld – Decided against revenue. Classification of commission income – Business income or income from other sources – Held that:- CIT (A) has rightly accepted the appeal of the assessee and held that the income from commission is to be assessed as income from business as disclosed by the assessee - there was no reason with the AO as to why and what circumstances, he has established this income as income from Other Sources and not as Business Income, as shown by the assessee company – thus, the order of the CIT(A) is upheld – Decided against revenue.
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