Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (1) TMI 303 - ITAT HYDERABADAddition of contract receipts – difference in profit and loss account and 26AS figures - Held that:- The assessee has not produced its books of account, bills vouchers, etc. either before AO or before CIT(A) - there is a difference of ₹ 8,16,92,576 between the contract receipts shown by assessee in the P&L A/c and as mentioned in 26AS statement - Assessee has tried to reconcile the difference by explaining that the amount represents the provision entry made by the main contractor M/s Vishwa Infrastructures and Services Pvt. Ltd. – assessee contended that the amount received from the entire contract works has been shown in the AY 2010-11 and 2011-12 - If the claim of assessee is found to be correct, then, there will be no justification in including the amount of ₹ 8,16,92,576 in the contract receipts for the AY as such inclusion would result in taxing the same income twice - a search and seizure operation was conducted in case of M/s Vishwa Infrastructures and Services Pvt. Ltd. – thus, the matter is to be remitted back to the AO for verification of actual amount received by assessee towards sub-contract work entrusted by M/s Vishwa Infrastructures and Services Pvt. Ltd. – Decided in favour of assessee. Estimation of profits @ 8.5 % - Held that:- Assessee though in the ground has mentioned that net profit rate of 8.5% has been estimated, however, on perusal of the order of first appellate authority, it is quite evident that he has directed to estimate the profit at 8% - not only during the survey operation but also during the assessment proceeding, assessee itself made a request to estimate the profit at 8.5% on the gross contract receipts - AO while completing the assessment has estimated profit at 8.5% by accepting assessee's request but the CIT(A) has reduced it to 8% - the order of the CIT(A) is upheld – Decided against assessee.
|