TMI Blog2010 (7) TMI 1085X X X X Extracts X X X X X X X X Extracts X X X X ..... ember. The Revenue has filed this appeal against order dt.23.10.2008 of the Commissioner of Income-tax (Appeals) XXX, Kolkata for the Assessment Year 2004-05. The assessee has filed the Cross objection. 2. The Revenue has raised the following grounds of appeal. 1. That the estimation of appellant s income on the basis of net profit @5% on addition of ₹ 26,55,618 by Ld. CIT(A) XXX, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the same has been accepted by the assessee. Therefore, the Assessing Officer made the addition of ₹ 10,53,000 to the total income of the assessee. Further the Assessing Officer observed that the assessee had a cheque deposits of ₹ 16,02,618 in the said account but the same is not reflected in the books of account. Therefore, the Assessing Officer added the said cheque deposits amount ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 618 aggregating to ₹ 26,57,618. He submitted that the assessee is a manufacturer and trader and therefore, the entire deposit aggregating to ₹ 26,57,618 in the said bank account could not be considered as trading receipt and therefore, the net profit @5% applied by the CIT(A) as income of the assessee is not justified. However, the learned DR submitted that in respect of cash deposits ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... carefully considered the rival submissions of the learned Representatives of the parties and perused the impugned orders of the authorities below. The said amount aggregating to ₹ 26,57,618 deposited in the Standard Chartered Bank, Salt Lake Branch, Kolkata was admittedly not disclosed in the books of account. The assessee has also admittedly failed to disclose the source of the deposits. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nsidered as undisclosed income of the assessee. Accordingly, we modify the impugned orders of the authorities below and direct the Assessing Officer to assess the undisclosed income of the assessee by considering the peak amount of deposit in the said undisclosed Bank account. We order accordingly. 6. In the result, the appeal of the Revenue is partly allowed in the manner as indicated in the f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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