TMI Blog2016 (7) TMI 530X X X X Extracts X X X X X X X X Extracts X X X X ..... of Shri Mahendra H. Shah recorded under Section 132 (4) of the Act. However, as noted hereinabove, Shri Mahendra H. Shah had not specifically mentioned the name of assessee. Thus, no material had been found at the time of search to indicate that the assessee had sold goods at a price higher than that recorded in the books of accounts regularly maintained by it. In the circumstances, the Tribunal was justified in holding that in the facts and circumstances of the case the provisions of Chapter XIVB of the Act could not have been resorted to as block assessment cannot take place of regular assessment. See Sachdeva Steel Products case [2010 (9) TMI 1173 - GUJARAT HIGH COURT] In light of the above discussion, it is not possible to state tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aking following observations: 5. The Tribunal has, accordingly, recorded that it was an admitted fact that no material had been found during the course of search that the assessee had actually realized more sale consideration than that recorded in the books of accounts. That Shri Mahendra H. Shah had not specifically mentioned the name of the assessee to prove that the assessee was engaged in recording any bogus sales. The Tribunal noted that the Assessing Officer had made the addition merely on the basis of estimate by taking 15% of the sales made by the assessee to be the suppressed consideration received by the assessee. The Tribunal upon verification of the copies of the ledger accounts as produced before it noted that the sale con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hereinabove, it is an admitted position that during the course of search no material had been found to show any undisclosed income of the assessee. No evidence had been found to indicate that assessee had realized sale consideration other than that recorded in its books of accounts. For the purpose of holding that the assessee had sold goods to fictitious parties at a price 25% higher than that shown in the bills, the Assessing Officer had mainly placed reliance upon the statement of Shri Mahendra H. Shah recorded under Section 132 (4) of the Act. However, as noted hereinabove, Shri Mahendra H. Shah had not specifically mentioned the name of assessee. Thus, no material had been found at the time of search to indicate that the assessee had ..... X X X X Extracts X X X X X X X X Extracts X X X X
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