TMI Blog2020 (1) TMI 402X X X X Extracts X X X X X X X X Extracts X X X X ..... s withdrawn. Therefore the revised return is only to be considered during the assessment proceedings. However, the AO, on the basis of original return of income pointed out some discrepancies and rejected the books of account. We find from the submission made by the assessee before CIT(Appeal) that the tribunal of Amritsar Bench in the case of Mohan Singh Contractor [2012 (6) TMI 877 - ITAT AMRITSAR] . has considered 5% NP rate has reasonable in the case of contractor. Therefore, considering all, we direct the AO to apply 5% NP rate in the case of assessee on the gross receipt of ₹ 3,15,21,611/- including return of income of ₹ 6,87,464/-. The AO is directed to recompute the taxable income of the assessee by applying 5% NP ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee has failed to maintain any stock register in support of the purchase of material, quantity and quality of material purchase, date of purchase and usage/issue of material for a particular site and also failed to produce WIP monthly statement. The AO further noted that the expenses under the head salaries or wages are claimed in the revised return at ₹ 2,53,680/- as against the original claim of ₹ 44,70,097/- which states that the labour charges were paid from undisclosed sources outside the books of account, hence books of account are not complete and correct. Keeping in view of these discrepancies and gross turnover/sales and purchases shown in the original return of income and the revised version of accounts. The A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... thout prejudice it was further submitted that the AO has not referred the peculiar facts to estimate the income of the assessee @ 10% of the gross receipt referring the judgments in the case of M/s. Shivam Constructions Company v. ACIT (in ITA No. 183 of 2007 dated 14.05.2007) of Punjab Haryana High Court. The assessee has furnished complete details of books of account, bills and vouchers in support of return of income during the course of assessment proceedings and the AO did not find any mismatch with the information furnished by the assessee nor any independent inquiry were made by the AO. It was further submitted that similar is the case history of the appellant and in all probability, the net profit rate in the case of appellant ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee has been reduced in revised return. Therefore, the AO was of the view that the books of account are not giving correct and true picture. Therefore, by citing some judicial decisions, the AO has applied net profit rate at 10% and made addition accordingly. However, CIT(Appeal) has reduced the same to 8% by applying ratio of some decisions. However, we find that the assessee has submitted before the CIT(Appeal) by relying on the decisions in the case of Dhampur Sugar Mills Ltd (supra) and M/s IVF Holdings (P) Ltd. Mumbai (supra), that where the revised return has been filed as per the terms of the provisions of section 139(5), the original return shall be treated as withdrawn. Therefore the revised return is only to be considered d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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