TMI Blog2021 (7) TMI 848X X X X Extracts X X X X X X X X Extracts X X X X ..... stion of law as framed, does not arise in the matter or any case, based on the material on record, is required to be answered against the Appellant-Assessee. - TAX APPEAL NO. 3 OF 2016 - - - Dated:- 19-7-2021 - M. S. SONAK M. S. JAWALKAR, JJ Mr. Mihir Naniwadekar Ms. Vinita Palyekar, Advocates for the Appellant. Ms. Susan Linhares, Standing Counsel for the Respondent nos. 1 and 2. ORAL JUDGMENT (Per M. S. Sonak, J.) 1. Heard Mr. Mihir Naniwadekar, learned Counsel for the Appellant, and Ms. Susan Linhares learned Standing Counsel for the Respondent nos. 1 and 2. 2. This appeal was admitted on 7th March 2016 on the following substantial question of law : Whether on the facts and in circumstances of the cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... roduce any evidence to support the entries/figures reflected in the book of accounts. He submits that the Assessing Officer, CIT (Appeals), and ITAT have referred to the average market price for the entire year instead of taking the market price only for March 2009 and this constitutes an error apparent on the face of the record. He submits that the findings recorded by all the three authorities are such as ought not to be arrived at by any reasonable authority instructed in law and on facts. He, therefore, submits that the substantial question of law as framed is required to be answered in favor of the Appellant-Assessee. 6. Ms. Linhares, learned Standing Counsel, defends the impugned orders based on the reasoning reflected therein. She ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , the memo of appeal before ITAT is perused, then, it is evident that the Appellant-Assessee had merely contended that the Appellant has valued the closing stock consistently in line with the Generally Accepted Accounting Principles . Based on this single line, it was urged that the CIT (Appeals) erred in holding that the valuation of closing stock as computed by the Assessing Officer was more than ₹ 3,02,29,477/-. 10. The aforesaid means that neither was the specific ground now sought to be projected in this Appeal ever raised in the memo of appeal before the ITAT nor was such contention seriously advanced and pressed before the ITAT. Based on the single statement in the ITAT order dated 14.09.2015, which is again not backed by a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o case made out to interfere with such concurrent findings recorded by all the authorities, in the exercise of the limited jurisdiction vested in us in this Second Appeal. Apart from producing an unsigned chart and raising vague pleas, no material was placed on record by the assessee to explain the variation in the cost price and the market price during the relevant assessment year. No case is therefore made out to interfere with the findings concurrently recorded by the three authorities. 13. Ms. Linhares learned Standing Counsel, relied on Commissioner of Income-tax vs. British Paints India Ltd. (1991) 54 Taxman 499 (SC) to submit that in the absence of any cogent evidence produced on record by the Assessee, the Assessing Officer w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on of the opening stock and the closing stock, thus, showing a comparatively low difference between the two. In a period of rising turnover and rising prices, the system adopted by the assessee, as found by the Tribunal, is apt to diminish the assessment of the taxable profit of a year. The profit of one year is likely to be shifted to another year which is an incorrect method of computing profits and gains for the purpose of assessment. Each year being a self-contained unit, and the taxes of a particular year being payable with reference to the income of that year, as computed in terms of the Act, the method adopted by the assessee has been found to be such that income could not properly be deduced therefrom. It was, therefore, not only th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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