Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (7) TMI 503 - AT - Income TaxAssessment of income - Income assessed at 8% on the turnover - AO treated the entire cash deposits in the assessee's bank account as turnover and assessed 8% of it as an income - As argued since the assessee earned commission from the gross receipts, invoking section 44AD is not correct - HELD THAT:- It is clear from the assessment order that on due consideration of material, assessee's submission etc that the AO originally proposed the cash withdrawals from the assessee's bank account as assessee's income which the assessee also admitted as commission and interest by his letter to accept receipts as his receipts and required the assessee to produce the proof towards the expenditure claimed by the assessee as against such receipts As seen from the assessment order that the AO required the assessee to explain within one day from the receipt of his letter and thereafter he concluded that the assessee did not explain and completed the assessment on 29.12.2017 taking a different turn. The assessee had placed whatever material available with him and made an attempt to substantiate his claim. It appears that the AO was inconsistent in his approach and completed the assessment without appreciating the material placed before the AO. Therefore, the order of the Ld. CIT(A) is set aside and the issues are remitted back to the AO for a fresh examination and due assessment. Assessee's appeal is allowed for statistical purposes.
|