TMI Blog2012 (7) TMI 928X X X X Extracts X X X X X X X X Extracts X X X X ..... For the Appellant: Mehul K. Patel, A.R. For the Respondent: B. K. S. Pandya, CIT D.R. ORDER PER : T. R. Meena, Accountant Member This is an appeal at the behest of the Assessee which has emanated from the order of CIT-VI, Ahmedabad, order dated 18.02.2010 for assessment year 2005-06. The only ground of appeal is against passing order u/s 263 of the I.T. Act. 2. In this case, the order u/s 143(3) for A.Y. 05-06 was passed by the A.O. on15.12.2009 at total income of ₹ 2,12,530/-.The CIT-VI, Ahmedabad, issued show cause notice on 05.01.2010 which is reproduced in the order at page no.2 of 263 order as under: 2. It is noticed that the City Police, Bhavnagar carried out raid at the business p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g the course of police action was accounted for by the assessee in the books of accounts. However, it appears that no such verification was carried out by the AO while completing the said assessment. 4, It further appears that the AO made no attempt to reconcile the deficiency found in stock during the course of survey u/s. 133A by calling for the quantitative details of stock. Though the AO himself has given finding in the said assessment order for Asst. Year 2005-06 that there was a deficit in stock of ₹ 10,40,661/-, he has made a lump sum addition of only ₹ 25,000/-. The AO should have examined whether taking into account the facts and circumstances of the case, the entire shortage represented the undisclosed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... us and prejudiciously to the interest of the Revenue within the meaning of provisions of Section 263 of the IT Act. Therefore, the assessment order dated 20.12.2007 was set aside and restored to the file of A.O. for completing the same afresh as per law. After giving due opportunity to the assessee of being heard in the matter. 3. Being aggrieved by the order of the CIT-VI, Ahmedabad, the assessee is before us. The learned counsel for the assessee contended that the department has immediately conducted survey u/s 133A of the IT Act on 05.11.2004 and detailed stock inventory was prepared by the IT authority which has been considered by the A.O. while passing the order u/s 143(3) of the IT Act. Therefore, he argued that the order u/s 263 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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