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2016 (4) TMI 1122 - AT - Income TaxRejection of books of accounts - variations with respect to month-wise consumption of raw material vis-à-vis finished products - provision of section 145(3) invoked - Held that:- On identical issue in A.Y.2008-09, an elaborate discussion has been made by the Tribunal and after considering the factual matrix, it was concluded that for invoking the provision of section 145(3) of the act to reject the books of accounts, by the Assessing Officer, it can be done only when, the Assessing Officer is not satisfied with respect to the correctness of completeness of the accounts maintained by the assessee. We find that the assessee duly explained the alleged variations with respect to month-wise consumption of raw material vis-à-vis finished products and the same were disbelieved by the Assessing Officer without finding any fault therein. The rejection of books of accounts by the Assessing Officer is inconsistent with the requirement of section 145(3) of the Act, thereby, we affirm the stand of the ld. Commissioner of Income Tax (Appeals) in deleting the impugned addition - Decided in favour of assessee
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