TMI Blog2017 (5) TMI 1525X X X X Extracts X X X X X X X X Extracts X X X X ..... ime. The existence of business of the suppliers could not be established beyond doubt. Further as the wages payments were not fully verifiable and therefore application of provisions of section 145(3) is hereby upheld. The issue is required to be answered in favour of the assessee - D.B. Income Tax Appeal No. 191 / 2010 - - - Dated:- 29-5-2017 - HON'BLE MR. JUSTICE K.S. JHAVERI AND HON'BLE DR. JUSTICE VIRENDRA KUMAR MATHUR For the Appellant: Mr. Anant Kasliwal For the Respondent : Mr. Aditya Vijay, Mr. N.S. Bhati for Mr. Anuroop Singhi JUDGMENT 1. By way of this appeal, the appellant has assailed the judgment and order of the Tribunal whereby Tribunal has dismissed the appeal of the assessee. 2. The f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion of ₹ 5,03,862/- against ₹ 29,68,210/- made by the AO. 3. This court while admitting the appeal on 5.5.2010 framed following substantial question of law:- Whether the revenue authorities are permitted to invoke Section 145(3) of the Income Tax Act even in the cases where veracity and correctness of the books of accounts is substantially accepted by them? 4. In view of the concurrent finding and more particularly tribunal while considering the provision of Section 145(3) observed as under:- We have heard and considered the arguments advanced by the parties in view of orders of the lower authorities, material available on record and the decisions relied upon. The issues before us are as to whether lower authorit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ally different from prevailing market rate at that point of time under the background of past/comparable instances if any. There is substance in the contention of the assessee that the labourers being illiterate persons do not keep printed vouchers to issue the same against the receipt of wages made to them. But at the same time we are of the view that the purpose of the AO is to verify the correctness of the claim of the assessee regarding the payment of claimed wages and it can be made possible even by furnishing details like name and full addresses of those labourers in the so called Kachha bills. In absence of these particulars, the AO was justified in doubting the claimed payment of wages. So far as the reasons shown for decline in G ..... X X X X Extracts X X X X X X X X Extracts X X X X
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