TMI Blog2002 (1) TMI 947X X X X Extracts X X X X X X X X Extracts X X X X ..... alongwith the memo of appeal and has contended that the sales and purchases are fully vouched and supported by stock details. He has contended that no specific instances effecting the results adversely were found by the authorities below. It has been contended though day to day milling register as such, is not maintained but from the stock register recording of gum and churi daily or periodical production can well be ascertained. It has been contended that the profits declared in the trading account was in accordance with the regular account kept and the provisions of section 145 could not have been applied. It has been contended that no clear cut finding of defect in this method of accounting has been recorded. The ld. AR of assessee has c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cannot be ascertained, cannot be found fault with. In my view, due to absence of day to day milling/manufacturing register, the production result in the form of guwar split, churi, shortage etc, cannot be examined and verified. The details of aggregate shortage of the year declared by assessee, not being available due to absence of day to manufacturing/milling record, the correctness of the declared shortage is neither self supporting nor ruling out the possibility of adjustment of shortage as per assessee s own suitability. In the circumstances, the accounts of assessee cannot be treated as reflecting true and correct profit of the business, and so the rejection thereof and application of section 145 cannot be found fault with. The citati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the facts and circumstances of the case including the fact that the factory expenses and the paledari expenses are not fully vouched and the element of personal use is involved in the use of car and scooter, as also the nature of expenses claimed, I uphold this disallowance of Rs. 7,000 and Rs. 3,000 out of paledari expenses but reduce the disallowance of car and scooter running ex- penses and depreciation thereon to 1/6 of the claim as against 1/4 made/sustained by the authorities below. 8. Ground No. 5 disputes the addition of Rs. 25,000 as unexplained it in the name of Shri Gaurishanker Kandoi under section 68. The ld. AR of assessee has contended that this creditor Shri Gauri Shanker Kandoi (for short GSK) is not a relative. He has ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
