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2015 (12) TMI 495 - ITAT CHENNAIAddition on account of non-deduction of TDS - invoking the provisions of sec.40(a)(ia) - Held that:- Admittedly, in this case, the assessee paid audit fee of ₹ 25,000/- without deducting TDS, though the assessee is liable to deduct TDS on this payment. Being so, invoking the provisions of sec.40(a)(ia) of the Act, by the lower authorities are justified - Decided against assessee. Allowability of depreciation at 15% as against 50% claimed by the assessee on crates - Held that:- The plea of the ld. AR is totally misplaced. As per Index 1 to item (4), containers made of glass, plastic as refills entitled for depreciation at 50%. The crates cannot be included as bottles made of plastic or glass. As such, the lower authorities are justified in restricting depreciation at 15% - Decided against assessee. Addition to the extent of 20% of the cash purchases of old used bottles - Held that:- These are admitted disallowances as cash vouchers are not bearing full address and these are not verifiable. The ld. AR submitted that earlier, gross profit rate and net profit rate was lower than this assessment year. Considering this, we direct the AO to compare the GP and NP of earlier years and if it is so as argued by the ld. AR, the addition to be sustained only to the extent of 5% of cash purchases towards this discrepancies. In other words, the disallowance should be sustained to the extent of 5% of cash purchases. With this observation, we remit this issue to the file of the AO for consideration. - Decided partly in favour of assessee for statistical purposes.
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