TMI Blog2003 (11) TMI 24X X X X Extracts X X X X X X X X Extracts X X X X ..... ts of the assessee were accepted for the last eight years, particularly when assessments in respect of some of the years, were made under section 143(3), i.e., after scrutiny of accounts. The Tribunal has observed that the addition was made on the basis of doubts and surmises - findings recorded by the Tribunal, which are essentially findings of fact, are based on factors, which cannot said to be irrelevant. In our opinion, no question of law, much less a substantial question of law arises from the order of the Tribunal. - - - - - Dated:- 12-11-2003 - Judge(s) : D. K. JAIN., MADAN B. LOKUR JUDGMENT The judgment of the court was delivered by D.K. JAIN J. - This appeal by the Revenue under section 260A of the Income-tax Act, 1961 (f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ortage was shown as "nil". Similarly, under the head "finished products" against the closing stock at the end of the previous year, shortage and percentage thereon a dash mark was given, indicating that the figure was nil. On further examination, the Assessing Officer found that a loss of 38,223 kgs. had been claimed in the consumption of "supari". He also noticed a shortage of 858 kilograms in the catechu account. The Assessing Officer felt that on the one hand, the auditors had pointed out no shortage of any raw material, and on the other, the aforenoted shortages in supari and catechu accounts had been claimed by the assessee. He also noticed that in the supari account, the assessee had also debited 821 kilograms on account of wastage du ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... atechu 2.72% and of cardamom, it was 27.69 per cent. In the immediately preceding year, the wastage claimed by the assessee and allowed by the Assessing Officer was much higher. Even in the earlier years, the wastage allowed by the Assessing Officer was much higher. We also find that since last eight years, the trading results have not been disturbed though in many years, the assessment under section 143(3) has been completed. The Assessing Officer has also not pointed out any defect in the books of account except observing that in the books, the auditors have shown the shortage at nil. As mentioned earlier, it was not shortage but wastage which was shown by the assessee. As there was no shortage in the auditors report, the nil figure was m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on. At the same time, if the Tribunal has arrived at certain conclusions of fact upon consideration of all the evidence and material before it, its finding is final and cannot be interfered with. Nevertheless, if a finding of fact is arrived at by the Tribunal after improperly rejecting evidence or it is based on material partly relevant and partly irrelevant or it is based on no evidence, such a finding may be vitiated, giving rise to a question of law, falling within the scope of section 256 of the Act. However, the question for consideration is whether the impugned order involves a "substantial question of law", the phrase employed in section 260A of the Act, under which provision the present appeal has been preferred. Obviously, a disti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ardamom, for the preceding years, has been much higher than in the year under consideration, but still the accounts of the assessee were accepted for the last eight years, particularly when assessments in respect of some of the years, were made under section 143(3) of the Act, i.e., after scrutiny of accounts. The Tribunal has observed that the addition was made on the basis of doubts and surmises held by the lower authorities. The findings recorded by the Tribunal, which are essentially findings of fact, are based on factors, which cannot said to be irrelevant. In our opinion, no question of law, much less a substantial question of law, arises from the order of the Tribunal. The appeal is misconceived and is dismissed accordingly. - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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