Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (5) TMI 398 - AT - Income TaxRevision u/s 263 - Enhancement of valuation of closing stock - HELD THAT:- CIT has not disturbed or disputed the method of valuation adopted by the assessee i.e. FIFO method but the computation made by the assessee was examined and found to be incorrect because only by including 4th bill to the details of three bills submitted by the assessed, it was observed that after inclusion of 4th bill, of the same period/date, the valuation of closing stock is enhanced to ₹ 2134 per MT instead of 1795 per MT as adopted by the assessee. On being asked by the bench, assessee could not point out any defect or discrepancy in the recomputation made by Pr. CIT for computation of closing stock by adopting FIFO method. As we have already observed that there is no enquiry by the AO on this issue in the assessment order, therefore, in our considered view, the Ld. Pr. CIT was correct in holding the assessment as erroneous and prejudicial to the interest of the Revenue and by directing the AO to modify the assessment order enhancing the addition - Appeal of the assessee is dismissed.
|