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2022 (6) TMI 1105 - AT - Income TaxAssessment u/s 153A - assessee has not accounted for 2/3 of its sales in its books of account as appearing in the seized documents - unaccounted sales found recorded in the hard disk - As found assessee has incurred expenses outside the books of account and if the same are taken into consideration, the resultant figures in all the three assessment years is net loss - HELD THAT:- As once drawn presumption that the contents of the documents of the assessee taken into possession during the search were true, then the same holds good for the entire entries found in those documents which means that the Assessing Officer cannot ignore the unaccounted expenses resulting into net losses in the captioned Assessment Years. Coming to the facts of the case in hand, we find that the additions made by the Assessing Officer are based upon the unaccounted sales found recorded in the hard disk. CIT(A) has restricted the additions to the extent of entries found to be not recorded in the books based upon the decision of Kabul Chawla [2015 (9) TMI 80 - DELHI HIGH COURT] - Since the additions sustained by the ld. CIT(A) are based upon the facts found at the time of search, we do not find any error or infirmity in the findings of the ld. CIT(A). Additions on account of undisclosed investment in stock is totally presumptuous and is based upon surmises and presumptions and is not even remotely connected with the facts unearthed at the time of search. We, therefore, do not find any reason to interfere with the findings of the ld. CIT(A). The impugned additions are deleted. - Decided in favour of assessee.
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