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2017 (6) TMI 594 - AT - Income TaxReopening of assessment u/s 148 - Held that:- The proceedings under section 148 of the Act were initiated against the assessee. However, where the assessee had failed to furnish any return of income in response to the said notice issued under section 148 of the Act and in response to 142(1) /143(2) of the Act then, the assessee at this juncture cannot raise issue against re-opening of assessment. Hence, the ground raised by the assessee is dismissed. Addition on account of unexplained investment u/s 69 - co-ownership - Held that:- In view of the submission of the assessee, the addition on account of unexplained investment for purchase of plot u/s 69 of the Act is upheld in the hands of the assessee, as the said plot is purchased in the name of two persons. The Ld. AR for the assessee has fairly conceded that balance sum of ₹ 5,00,000/- is to be added in the hands of other partner, Shri Arun Chachad. In the said case, appeal is pending before the CIT(A). Accordingly, Arun Chachad. In the said case, appeal is pending before the CIT(A). Accordingly, addition of ₹ 5,00,000/- is upheld in the hands of the assessee. - Decided against assessee Disallowance of transport charges - Held that:- Since the assessee did not file details of the expenses, the Assessing Officer asked the assessee as to why reasonable disallowance should not be made on this account. During course of hearing, CA & AR of the assessee stated that only 5% disallowance would be accepted. However, the Assessing Officer made ad-hoc addition by disallowing 7.5% of the total lorry hire expenses and made addition. The CIT(A) restricted the same to 5% of the total expenses against which the assessee is in appeal. There is no merit in the plea of the assessee in this regard wherein the Ld. AR of the assessee had already accepted 5% of disallowance out of total lorry hire charges paid.- Decided against assessee Addition on account of cash introduced in the firm’s account by the partners - Held that:- As in the case of Jagatsingh Pratapsingh Jadhav, addition of ₹ 5,00,000/- on the same ground is upheld and accordingly, no other addition on the same transaction is to be made in the hands of the firm and the same is deleted. In respect of other partner, Shri Arun Chachad, addition of ₹ 5,00,000/- has been made and appeal is still pending before the CIT(A). The Ld. AR for the assessee has proposed that the addition made in the hands of the partners on account of their cash contribution be upheld. In case no addition is confirmed in the hands of Shri Arun Chachad, the balance addition of ₹ 5,00,000/- would be upheld in the hands of the assessee’s firm. Otherwise, in case it is added in the hands of the partner, no addition in the hands of the assessee, is valid. Disallowance of contract work charges, supervision charges and office expenses, vehicles expenses - Held that:- In respect of expenses, these additions are upheld in the hands of the assessee on the ground that some of the expenses are supported by self made vouchers
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