GST Helpdesk   Subscription   Demo   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
What's New Case Laws Highlights Articles News Forum Short Notes Statutory TMI SMS More ...
Extracts
Home List
← Previous Next →

2016 (10) TMI 222 - ITAT KOLKATA

2016 (10) TMI 222 - ITAT KOLKATA - TM - Addition on account of unaccounted Stock - Held that:- Since the propositions canvassed by Ld AR is supported by the fact that stock register was maintained by the assessee up to 12.03.2010 when the search was conducted on 17.03.2010. The Assessing Officer ought to make the reconciliation for 5 days transactions to work out the discrepancies. He further submitted that addition can not be made merely based on the statement of the assessee.Therefore, in view .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rted by the facts cited above. The Assessee keeps one truck for his business purpose and in rare cases it was rented by the assessee to outsiders. It is not the business of the assessee to keep the truck for plying. The Ld. AR argued that the truck wasgiven for hiring when it was free and the income from so hiring should be treated as business income based on materiality concept. - In view of the factual aspects discussed above, we are of the view that the assessee under consideration has on .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

2010-11, is directed against the order passed by the Ld. Commissioner of Income- Tax (Appeals), Jalpaiguri in appeal No.26/RNJ/CIT(A)/JAL/2013-14, dated 24/04/203, which in turn arises out of an order passed by the DCIT,Circle-2, Jalpaiguri, ( Hereinafter referred to Assessing Officer(AO)), under section 143(3) of the Income Tax Act, 1961 (in short, the Act ) dated 25/03/2013. 2. The brief background of the case is that the assessee is a private limited company incorporated under the provisions .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of ₹ 20,37,283/-. The Return of Income of the assessee was processed by the Department U/s 143(1) of the I.T. Act,1961 on 02/06/2011. In this case, a survey U/s 133A of the I.T. Act, 1961 was conducted on 17.03.2010 at the two Factory premises of the assessee company at Durgapur, P.O.-Bhupalpur,Dist- Uttar Dinajpur and at the office premise. During the course of survey operation u/s 133A of the I.T. Act,1961, the physical verification of stock was taken under the assistance of the assessee .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

urse of survey operation, so the case was selected for scrutiny U/s 143(3) of the Act. In the scrutiny assessment the Assessing Officer made certain additions on account of unaccounted stock, depreciation and mistakes in finished goods stock. The Assessing Officer completed assessment U/s 143(3) of the Act on dated 25.03.2013. 3. In this appeal, although assessee has raised multiple grounds of appeal, but at the time of hearing, the grievance of the assessee has been confined to grounds of appea .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

0 at the two Factory premises of the assessee company at Durgapur, P.O.-Bhupalpur, Dist- Uttar Dinajpur and at the office premise. During the course of survey operation u/s 133A of the I.T. Act,1961, the physical verification of stock was taken under the assistance of the assessee s Director or his employee and the stock was valued at ₹ 99,51,645/- whereas as per stock register maintained up to 12.03.2010, the closing stock was valued at ₹ 82,29,185/- So, there was excess stock value .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

out of excess stock worth ₹ 17,22,460/-, the stock worth ₹ 11,58,852/- belonged to M/s Qualix and M/s Pabitra Feeds, received from processing charges has been considered as an accounted stock and balance ₹ 5,63,608/- [17,22,460-11,58,852] has been considered as an unaccounted stock (Vide para 9.6 of AO Order),observing the followings: 9.6 Now, marshalling all major facts (i) The survey team had detected excess stock in course of survey, assessee admitted the fact.(ii). The sur .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

but only disclosed a sum of ₹ 20,00,000/- (iv). On 19.03.2010, when the assessee was in possession of all books of account as inventorised by survey team never mentioned that the purchase considered by survey team was wrong to take purchase figure at ₹ 4,54,79,563/- the said figure would have to be ₹ 4,60,73,602/- (v) The assessee after three years came with an reconciliation that as per entries dated 16.03.2010, the figure was ₹ 4,60,73,602/-, so the manipulation of boo .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

8/- on account of unaccounted stock, the assessee filed an appeal before the Ld. CIT (A), Jalpaiguri, who has confirmed the action of the assessing officer, observing the followings: 5. Conclusion- I have gone through the written submission. The assessee has not submitted any factual inaccuracy in the assessment order. The order of AO is confirmed. Not being satisfied with the order of the Ld.CIT (A), the assessee is in further appeal before us. 4.1. Before us, the Ld. AR for the assessee has su .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

essing officer (vide para 3 of his assessment order) has himself agreed that survey was conducted on 17.03.2010 whereas the stock register was maintained by the assessee up to 12.03.2010. The Assessing Officer did not make the reconciliation for 5 days entries in stock register to judge the discrepancies, therefore, it is a guess work done by the Assessing Officer. The Ld. AR for the assessee argued that no any defect in books of accounts was pointed out by the AO and books of accounts were not .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of assessee s statement. 4.2. On the other hand, the Ld. DR for the Revenue has primarily reiterated the stand of the Assessing Officer which we have already noted in earlier paras and is not being repeated for the sake of brevity. 4.3 Having heard the rival submissions, we are of the view that there is merit in the submissions of the Ld. AR for the assessee, since the propositions canvassed by Ld AR is supported by the fact that stock register was maintained by the assessee up to 12.03.2010 whe .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Ld. CIT(A) to delete the addition of ₹ 5,63,608/- 4.4 In the result, the appeal filed by the assessee is allowed. 5. Ground No. 3: Income from playing truck is business income or presumptive income U/s 44AE of the I.T. Act. The facts relating to the issue are stated in brief. The Ld. Assessing officer in para 10.1 of his assessment order observed that: The assessee is owner of a truck. On examination, it is found that in addition to giving the truck on hire the assessee might has also been .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ing from truck is not reflected in the income from truck head. Assessing Officer, accordingly has computed presumptive income of one truck @ 5000/- per Month, so the net income from truck computed at ₹ 60000/- [Rs.5000 x 12]. The assessee has claimed depreciation on said truck at ₹ 1,11,319/- the same has been disallowed by the Assessing Officer, as, the income from trucks have been computed on presumptive basis, so depreciation as claimed deemed to have been allowed and to be disall .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

Latest Notifications:

    Dated      Category

20-7-2017 Cus (NT)

18-7-2017 IT

18-7-2017 CE (NT)

18-7-2017 CE

18-7-2017 GST CESS Rate

15-7-2017 Kerala SGST

14-7-2017 Andhra Pradesh SGST

14-7-2017 Cus (NT)

14-7-2017 Cus

13-7-2017 Co. Law

13-7-2017 Co. Law

13-7-2017 ADD

13-7-2017 ADD

12-7-2017 Jammu & Kashmir SGST

12-7-2017 Gujarat SGST

12-7-2017 Gujarat SGST

12-7-2017 CGST Rate

12-7-2017 UTGST Rate

12-7-2017 UTGST Rate

12-7-2017 IGST Rate

More Notifications


Latest Circulars:

19-7-2017 Income Tax

18-7-2017 Customs

17-7-2017 Customs

14-7-2017 Income Tax

13-7-2017 Central Excise

13-7-2017 Customs

13-7-2017 Central Excise

13-7-2017 Customs

7-7-2017 Income Tax

7-7-2017 Goods and Services Tax

More Circulars



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version