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2015 (5) TMI 782 - AT - Income TaxTrading addition - estimating income from business of contracting by applying a net profit rate of 10% - CIT(A) allowed part relief - Held that:- The relevant bills/vouchers to support and substantiate his claim for various expenses could not be produced by the assessee before the A.O. for verification and since in the absence of such vouchers, it was not possible for the A.O. to verify the various expenses claimed by the assessee, we are of the view that the A.O. was fully justified in resorting to estimation of the income of the assessee from contracting business by applying the net profit rate. As regards the net profit rate of 10% applied by the A.O. for estimating the business income, it is observed that in assessee’s own case for A.Y. 2007-2008, a net profit rate of 8% was applied by the A.O. to estimate the business income of the assessee and all the relevant facts including the nature of the business of the assessee remaining the same in the year under consideration, we are of the view that the Ld. CIT(A) was fully justified in directing the A.O. to estimate the income of the assessee by applying net profit rate of 8%. Thus no infirmity in the impugned order of the Ld. CIT(A) giving part relief to the assessee - Decided against revenue. Determination of income of the assessee from long term capital gain including his claim for exemption under section 54EC - Held that:- It is observed that the case made out by the assessee before the Ld. CIT(A) on this issue was entirely different from the case putforth before the A.O. A perusal of relevant portion of the respective orders of the A.O. and Ld. CIT(A) shows that altogether new facts and figures were furnished by the assessee before the Ld. CIT(A) and the issue was decided by him taking into consideration the said facts and figures without giving any opportunity of being heard to the assessee. We therefore, find it fair and reasonable and in the interest of justice to set aside the order of the Ld. CIT(A) on this issue and restore the matter to the file of the A.O. for deciding the same afresh after giving the assessee a proper and sufficient opportunity of being heard. - Decided in favour of assesse for statistical purposes.
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