TMI Blog2020 (5) TMI 56X X X X Extracts X X X X X X X X Extracts X X X X ..... as considered by the AO. The same cannot be said to be excessive or arbitrary. The Tribunal rightly came to the conclusion that surrendered amount of ₹ 10,50,000/- was on account of un-explained investment in the stock. It represented unaccounted transaction and does not represent the profit of unaccounted transaction of purchase and sale. There was no convincing reason put forth by the asse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Income Tax Appellate Tribunal, Chandigarh (for short, 'the Tribunal') allowing the appeal of the revenue. Following substantial questions of law have been claimed in the appeal: (a) Whether in the facts and circumstances of the case orders Annexures P-1 and P-3 are legally sustainable? (b) Whether in the facts and circumstances of the case, the Income Tax Appellate Tribunal w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (e) Whether in the facts and circumstances of the case, the Ld. ITAT was right in sustaining the addition of ₹ 5,41,148/- but not including the amount surrendered in the trading account for calculation of loss and profit rate? The appeal was admitted only with regard to question (c). The facts necessary for adjudication of the present appeal are that the assessment year involved is 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e previous year. The assessment was finalised vide order dated 12.3.1993 calculating the total assessable income as ₹ 8,33,845/-. The Commissioner of Income Tax (Appeals) (for short, 'CIT') allowed the appeal on 29.6.1993 and deleted addition of ₹ 5,41,148/- made on the basis of estimated gross profit of 2%. The revenue preferred an appeal before the Tribunal. The Tribunal set ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of purchase and sale. There was no convincing reason put forth by the assessee justifying the low G.P. Rate. There is another aspect of the matter. The Assessing Officer while finalising the assessment considered the profit amounting to ₹ 3,06,705/- as covered under the surrrendered amount of ₹ 10,50,000/- and thereafter made the addition. The conclusion arrived at by the Trib ..... X X X X Extracts X X X X X X X X Extracts X X X X
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