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2022 (3) TMI 129 - AT - Income TaxTDS u/s 194C - reimbursement of customs duty charges and other charges which are incurred by agents on behalf of the assessee - As argued assessee had incurred the transportation/freight charges and the assessee had only reimbursed the same i.e. freight/transport charges incurred by them was given back to the agents - HELD THAT:- As the assessee pursuant to the AO’s query has categorically stated that the payment was in fact reimbursement since the same was paid by the agents on behalf of the assessee, and the assessee had in turn reimbursed the same to the agents and booked the same as expenses in its book. It is noted that the AO failed to contradict the explanation given by the assessee that the payments (freight charges) were paid by the agents on behalf of the assessee and that the assessee has only reimbursed the same to the agents. Since this fact could not be contradicted even during the hearing also we are inclined to allow this ground of appeal of the assessee by relying on the ratio of the decision given by the Tribunal in Satyendra Jhunjhunwala [2011 (11) TMI 703 - ITAT KOLKATA]. Estimation of profits - method of estimating/computing the profits - profits arising out of sale and purchase of tea, profits arising out of tea manufacture out of bought leave and profit arising out tea manufacture out of home grown leaves - HELD THAT:- In the light of the aforesaid decision of the Hon’ble Supreme Court in Radhasoami Satsang [1991 (11) TMI 2 - SUPREME COURT] find force in the submission of the Ld. AR that since for decades assessee has been computing its profits from the aforesaid three sources which has been accepted even in several scrutiny proceedings and according to the Ld. AR, there is no change in facts and law and that the department had accepted the estimated income of the assessee from the three sources. In such a scenario, according to him, the AO ought not to have disturbed the estimation of income made by the assessee without the AO pointing out the deviation or changes if any in the facts or law. According to this Tribunal if the facts permeating in the earlier years are identical/same and the department has accepted the same in the earlier years even in scrutiny proceedings, then the AO ought not to have disturbed the estimation made in this assessment year without pointing out changes/deviation in the facts or law while computing the income of the assessee from all the three sources - we set aside the order of the Ld. CIT(A) and remand the issue back to the file of AO to de novo pass the order on this issue based on the observation (supra) and as per the Hon’ble Supreme Court in Radhasoami Satsang (supra).
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