TMI Blog2005 (10) TMI 266X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee stated that he is not pressing the cross-objection filed by the assessee. Hence, the cross-objection filed by the assessee is dismissed as not pressed. 3. The only grievance of the Revenue in the Revenue's appeal is against the order of the learned CIT(A) deleting the addition of Rs. 18.43,133 made by the AO as undisclosed income of the assessee. 4. The facts, in brief, relating to the solitary ground taken by the Revenue are that the survey under s. 133A of the IT Act, 1961, was conducted in the business premises of the assessee on 5th Jan., 2000. Certain documents and books of account were found and were inventorised. Among other materials, balance sheet for the year ending on 31st March, 1999 pertaining to the asst. yr. 19 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rasim Fly Ash. The GP for various units had been worked out on pp. 13 to 16. As per p. 13 transport work for L T Cement was Rs. 6,54,67,567 and after taking expenses of Rs. 6,15.42,837, the GP has been computed at Rs. 39,24,730 which has been taken on p. 11. (ii) Similarly, on p. 14 GP for Grasim Fly Ash and Grasim Cement, on p. 15 GP for L T (Coal) and, on p. 16 GP for Grasim Coal and RASL Coal have been computed from the respective turnovers. All these GPs for various units have been carried over to p. 11 of which total GP was Rs. 51,64,075 from which after deducting expenses of Rs. 20,57,480, the net profit has been computed at Rs. 31,06,515. By making the aforesaid observations, the AO stated that when all the turnovers in respect o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... natural justice, verified the facts from L T Cement Co., as to what were the actual receipts which was not done by the AO. (c) The document found at the time of survey clearly indicates that the transport work receipt was an approximate amount only and not the true and correct receipt. It is confirmed by the word lIapprox.1I written besides transport work in that very loose paper which is the sole basis of the AO's case for addition. (d) The assessee also produced a certificate issued by L T Ltd. which certifies that the transportation work of cement and coal of M/s A.T. Associates, Raipur, was for Rs. 8,31,16,002 for the financial year 1998-99. Considering the reconciliation filed by the assessee, the learned CIT(A) observed that on t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent material. (h) The addition has been made by the AO without any adequate material bringing on record to prove the real income to be Rs. 31,06,595 except adopting the estimated and approximate figures in the computer sheet. (i) Nothing has been brought out by the AO to show that the actual receipts were not as per the books but as recorded in the computer printouts. He, therefore, held that the conclusion of the AO that the computer sheets reflected true and correct net profit was based only on surmises. Aggrieved by the order of the learned CIT(A), the Revenue has filed the present appeal before the Tribunal. 6. Before us, the learned Departmental Representative strongly relied on the reasoning given by the AO in his assessment o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unts of the assessee-firm are audited under s. 44AB. (5) The computer printouts do not exhibit date and narration for which year the figures mentioned therein relate. The AO is not justified in simply rejecting the Explanation and treating the same as net profit. (6) It was submitted that in page No. 13 of L T account, gross transport work was approximately taken at Rs. 6,54,67,567 and in the above sheet, "approx." word is written and the AO has ignored this fact. On the basis of the certificate issued by the L T, the total transportation work of cement and coal of L T is for Rs. 8,31.16,002 during the financial year 1998-99 which tallies with the account books. He, therefore, submitted that the retraction from the statement recorded un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... jranglal Agrawal and the figures appeared in the computer printouts. The AO rejected the Explanation of the assessee that the figures mentioned in the computer printouts are approximate figures without bringing any material on record to prove that it is the real figure of profit. The statement given in survey proceeding was retracted in the assessment proceeding since according to the assessee, it was given under mental pressure and coercion. The learned CIT(A) has rightly held that the statement of Shri Bajranglal Agrawal cannot be made the sole basis for such addition without any material evidence and there is no provision in the statute to prevent the declarant from retracting his statement. The addition has been made by the AO without a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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