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2019 (6) TMI 291 - AT - Income TaxAddition on account of undisclosed cash - survey u/s 133A at Karol Bagh Branch by the Investigation Wing of the Department excess cash of ₹ 60,00,000/- was found - assessee explained that cash of Gurgaon Branch was transferred to Karol Bagh Branch because of the closure of the showroom at Gurgaon on account of holiday - the explanation was not accepted by the A.O. because no entries to that effect have been made in the books of account - CIT-A deleted the addition - HELD THAT:- CIT(A) specifically noted that cash available as per the records seized by the Department shows availability of the cash in the books of account of assessee at ₹ 53,48,755/-. This fact has not been rebutted by the Revenue Department. Since assessee is keeping and maintaining several business entities at different places, therefore, entire cash available in the books of account of assessee of different entities should have been considered. The explanation of assessee could not be ignored that there was a transfer of cash from Gurgaon Branch to Karol Bagh Branch. Therefore, entirety of the facts and the fact that seized records itself shows availability of the cash with the assessee in the books of account clearly shows that Ld. CIT(A) on proper appreciation of facts and material on record, correctly deleted the addition - Decided against revenue Addition on account of under reporting of profit - CIT-A deleted the addition - HELD THAT:- There was no reason to compare the profit of earlier year with the profit declared in assessment year under appeal. Low project by itself is no ground to make addition. In the absence of any material on record, particularly that books of account have not been rejected by the A.O. and that the surrendered amount is treated as income from other sources by CIT(A), there was no justification for the A.O. to make this addition. CIT(A), on proper appreciation of facts, rightly found that in assessment year under appeal, the costs of the assessee have increased substantially as against the cost incurred in preceding assessment years. This fact has not been rebutted by the Revenue Authorities through any evidence or material on record. - Decided against revenue
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