TMI Blog2014 (5) TMI 269X X X X Extracts X X X X X X X X Extracts X X X X ..... y material on record that the assessee was having at least daily turnover of Rs.17,51,000 - Merely finding on a single day cannot be made applicable for the entire month or throughout the year - There is always possibility of lesser and higher amount - Since no specific defect is pointed out in the books of accounts of the assessee, thus, the AO is directed to set aside the addition made on the basis of estimation – Decided in favour of Assessee. - I.T.A. No. 2908/Ahd/2011 - - - Dated:- 29-4-2014 - Shri Kul Bharat And Shri T. R. Meena,JJ. For the Appellant : Shri Vartik Chokshi For the Respondent : Shri T. P. Krishna Kumar, CIT-DR ORDER Per Shri Kul Bharat, Judicial Member : This appeal by the Assessee is di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Tax was carried out on 25/10/2008 at the branch office of the appellant firm at Indore. During the course of survey, cash of Rs.17.50 Lacs was not properly explained, therefore a warrant of authorization under section 132 of the Income-tax Act was executed on 25/10/2008 to seize the cash. In the statement, Shri Dashrathbhai Patel stated that the sum of Rs.17.50 Lacs was given to him by Sh.Sanjay Kumar M Patel, Manager of the office of the appellant firm at Indore for delivering to the firm s head office at Ahmedabad. Since, the said cash was stated to be belonging to the appellant firm, proceedings under section 153C of the Income-tax Act was initiated against the appellant. In response to notice under section 153C, the appellant filed re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... employees was aware about the maintenance of books of account. He submitted that the AO observed that Shri Vijaybhai and Shri Viralbhai, employees of the assessee-firm had no knowledge about any books of account. He submitted that the another objection of the AO was that Shri Sanjay Manager of the appellant-firm came to the branch office after about a gap of 5 hours and he brought with him the books of account which were impounded. He submitted that books of accounts were maintained at the head office. He submitted that the books which were maintained at branch office at Indore were with the Manager and Manager has duly produced the books of accounts. He submitted that the AO has not rejected the books of accounts but has added the amounts ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... epted by the Assessing Officer to be genuine with the result that no addition has been made, in spite of the fact that the nature of both the transactions are identical. He submitted that all other several entries in the same cash book reflecting transfers of cash from the branch office to the head office and vice-versa have been fully accepted by the Assessing Officer. He submitted that the books of accounts are statutorily audited and are supported by auditor s certificate u/s.44AB of the I.T.Act. He further submitted that the ld.CIT(A) was not justified in confirming the arbitrary addition made by the AO merely on assumptions. He submitted that no evidence has been brought on record either by the ld.AO or by the ld.CIT(A) in support the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9 (SC). (iii) DCIT vs. Adinath Industrial reported at 252 ITR 476 (Guj.). (iv) Union of India vs. Playworld Electronics P.Ltd. reported at 184 ITR 308 (SC). (v) Vinaykumar Modi vs. CIT reported at 272 ITR 91 (Del.). 4. On the contrary, ld.CIT-DR supported the orders of the authorities below and submitted that there is no illegality in the orders of the orders of the authorities below. He submitted that on the date of survey, it was found that the assessee was not maintaining the books of accounts at the business premises. He further submitted that one of the employees of the assessee-firm has stated that the daily about Rs.15 to 20 lacs received in the branch and for carrying the same commission at a rate of RS.150/- to 200/- pe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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