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2018 (11) TMI 437 - AT - Income Tax300% addition qua "Business Income" - Business Income declared in the tentative financial statements filed - in present assessment year neither the return has been filed nor the books have been audited - Held that:- Revenue has made addition of ₹ 1,93,10,202/- on mere estimation. We are in agreement with the view of the Commissioner of Income Tax (Appeals) that the facts of the present case are at variance as no audited accounts have been furnished by the assessee and there is no tax audit report u/s. 44AB of the Act. The income declared by the assessee in tentative financial results does not carry any sanctity, therefore, the ratio applied in A.Y. 2007-08 would not hold in good in A.Y. 2008-09. At the same time we are of considered view that 300% addition made by Revenue authorities is very much on the higher site. Taking into consideration entirety of facts we restrict the addition to 200% of the Business Income declared in the tentative financial statements filed by the assessee. Accordingly, ground Nos. 1 and 2 raised in the appeal by the assessee are partly allowed. MAT computation - authorities below have not considered the book profit declared by the assessee under MAT provisions i.e. u/s. 115JB - Held that:- Remit the ground for computing the taxable income after considering the addition confirmed by the Tribunal vis-à-vis the book profits declared by the assessee under the provision of section 115JB. Addition to 15% of the income from house property - Held that:- Commissioner of Income Tax (Appeals) in the impugned order has observed that the assessee while computing income under the head Income from house property has claimed staturoty deductions only. The ld. DR has not been able to substantiate infirmity in the order of First Appellate Authority. Accordingly, the ground No. 1 raised in the appeal by the Revenue is dismissed being devoid of merit.
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