TMI Blog2002 (11) TMI 258X X X X Extracts X X X X X X X X Extracts X X X X ..... he circumstances of the case, learned Dy. CIT(A)-II, N. Delhi, has erred in deleting the addition of Rs. 37,000 made by the AO on account of unexplained investment in purchase of ball-bearings. 2. On the facts and in the circumstances of the case, the learned Dy. CIT(A) has erred in admitting evidence in contravention of the provisions of r. 46A of IT Rules." 2. During assessment proceedings ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e-firm came into existence w.e.f. 1st April, 1993, and prior to it the same business was proprietary concern of Mr. Suresh Jain. Ball-bearings were having short span and were of revenue nature, the cost of the same being debited to repair and maintenance account. As the ball-bearings were old and lying for so many years, these were treated as scrap. It was also stated that in the just preceding ye ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the AO along with machine repair account showing expenses of Rs. 27,032 in the year under consideration. It was submitted that ball-bearings were of little value that is why no valuation was made thereof. After considering all the facts I am of the view that CIT(A) was justified in deleting the addition. No interference is called for in the order of CIT(A). 4. The result is that Revenue's appea ..... X X X X Extracts X X X X X X X X Extracts X X X X
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