Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2016 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (12) TMI 1746 - AT - Income TaxEstimation of income from running of a wine shop at 5% of the goods put to sale - Held that:- As the assessee relied upon the decision of the Coordinate Bench of this Tribunal in the case of Secunderabad Wines vs. ITO [2016 (7) TMI 1449 - ITAT HYDERABAD] wherein the Tribunal has upheld the estimation of income at 3% of the cost of goods sold. Both of us are signatories to the said order. Respectfully following the same, we direct the AO to estimate the income of the assessee also at 3% of the cost of goods put to sale. Agricultural income OR income from other sources - nature of receipt - Held that:- Assessee owns 4.33 acres of agricultural land and his parents also owned more than 16 acres of agricultural land at Gurajala, near Guntur District. Though the assessee has not given the details of the crops grown and the yield of such crops, earning of agricultural income cannot be ruled out. At the time of hearing, the learned Counsel for the assessee agreed for restricting the agricultural income to 50% of the agricultural income claimed by the assessee. Taking into consideration the extent of land held by the assessee, we are inclined to accept the assessee’s contention and we restrict the agricultural income to ₹ 1.00 lakh for the relevant A.Y and the ground of appeal No.3 is accordingly treated as partly allowed for statistical purposes. The balance amount of ₹ 1,35,200 shall be treated as “income from other sources” and brought to tax accordingly
|