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2015 (1) TMI 598 - ITAT DELHIRejection of books of accounts - trading addition of ₹ 35,40,410/- made by the assessing officer by applying average gross profit rate of 4.90% upheld by CIT(A) - non proving of adequate opportunity of being heard to the appellant - Held that:- It is pertinent to note that AO has not rejected the books solely on account of non maintenance of stock register but also because the AO was not satisfied about the correctness and completeness of the accounts of the assessee also because of the relevant details not being mentioned in the sales invoices though in the purchase invoices all such details were available. Therefore, the AO rightly rejected the assesee’s books of account. The AO’s finding regarding incorrectness or incompleteness of the accounts is to be examined considering the various factors obtaining in a particular case keeping in view the nature of the assesse’s business. However, the broad principle is that if it is impossible or infeasible to maintain the stock register, keeping in view the nature of assessee’s business, then the maintenance of stock register can be dispensed with else not. - Decided against assessee. Considering the entire conspectus of the case including the comparables cases relied upon by the assessee as well as the decisions of Tribunal in the case of Suresh Jindal Prop. (2015 (1) TMI 618 - ITAT DELHI), we are of the opinion that it would serve the interest of justice if the GP rate of the assesee is taken at 3.53% as was in the case of Suresh Jindal Prop. - Decided partly in favour of assessee.
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