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TMI Blog2021 (2) TMI 273X X X X Extracts X X X X X X X X Extracts X X X X ..... 8/Hyd/2019 suffers from delay of 291 days as attributable to misplacing of appeal papers by one of the office staff, is condoned since the same is neither intentional nor delinquent on the part of the assessee but for the circumstances beyond its control. The appeal ITA No. 238/Hyd/2019 is taken up for adjudication on merits. 3. Coming to the rival pleadings in these cross-appeals, we notice during the course of hearing that the Revenue's sole endeavour is to revive the challenge correctness of the CIT(A)'s action reversing excess gold addition of Rs. 2,33,15,262/- whereas the assessee's identical grievance upon silver ornaments/excess stock involves a sum of Rs. 17,29,072/- confirmed in the lower appellate order. Both the lear ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ceedings, the AR of the appellant drawn to my attention the reconciliation of statement of gold given to the AO at the time of survey, wherein the book stock was arrived at 61994.720 gms. During the course of appellate proceedings, AR of the appellant also drawn to my attention the sworn statement u/s. 131 of the Act on 21.6.2011, given by Sri P. Navarathan S/o. Sri Prakash Chand, a partner of the Firm. I have perused the reconciliation of book stock worked out by the appellant vide their letter dated 21.6.2011, which is part of the survey record mentioning about 9434 pieces, and weighing 61994.720 gms. I have also perused the replies given by Sri P. Navarathan in the course of statement recorded u/s. 131 on 21.6.2011 and replies to Questio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rification physically, no old gold is found. Further, there are no outward entries in the old gold register and inward entries in gold ornaments register. Please explain? Ans.) As replied to the question No. 4, no entries were made since our accountant Mr. Nagaraju fell sick. I have maintained kacha worksheets and receipts for inward and outward transactions and I will produce the same within 2 days. Q.8) Please furnish the names and addresses of the workers to whom the bullion and old gold was stated to have been issued for making gold ornaments and also stated to have been received gold ornaments. Ans. 1) Sri Siva Achari, Besta Veedhi, Tirupati (Cell No. 9949906346) 2) Sri Anand Achari, In our shop (Cell No. 8106233381) 3) Om Je ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ifference of 196.17 gms only. Even this difference could be due to mistakes in the net weights of stones. The survey record shows that the valuation of the physical stock i.e. inventory of stock was also not done with the help of Registered Valuers. Hence, small difference of 196.17 gms can be attributable to the lack of involvement of experts like registered valuers in the process of taking inventory. It is pertinent to mention that the appellant had declared Rs. 10 lakhs as additional income and paid taxes to cover up discrepancies, which will take care of difference of 196.17 gms also. In view of the above facts and circumstances of the case, I am of the considered opinion that the AO is incorrect in arriving stock difference in respect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee had declared a lumpsum profit amount of Rs. 10 lakhs during the course of survey (supra). He therefore seeks to delete the impugned addition in entirety. His further case is that the assessee had never made any concession before the CIT(A) for not pressing its instant grievance. 4.1. We see no merit in the assessee's grievance per se in entirety. The fact remains that it has not been able to explain each and every item in both gold as well as silver stock(s). We notice that it has placed on record a detailed reconciliation statement of both stocks of gold as well as silver items before us; the very discrepancy continues in the instant second appellate proceedings as well. We therefore deem it appropriate that a lump sum addition ..... X X X X Extracts X X X X X X X X Extracts X X X X
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