TMI Blog2021 (9) TMI 533X X X X Extracts X X X X X X X X Extracts X X X X ..... 35 per gm. of Silver items. Addition on account of out of books sale can be made only by taking the gross-profit as declared by the assessee the accounted sales, as well as the average sale-price of the Silver items as recorded in the books of accounts - AO has made the entire sale proceeds as addition to the income of the assessee which is not justified - sale price adopted by the AO is also not based on the actual prevailing price which ought to have been taken as an average sale price of the recorded sales of the assessee - Assessing Officer is directed to restrict the addition on account of out of books sales only to the extent of profit element i.e. Gross Profit that to by considering the average sale price as assertable from the s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ither intention nor deliberate but due to the reasons that the file of the assessee got misplaced during the renovation work of the office of the counsel of the assessee got misplaced and received by the counsel only on 11 Feb, 2021. Thus, he has prayed that the delaying file the present appeal may be condoned and the appeal of the assessee is to be decided on merits. 3. On the other hand, The Ld. DR has objected to the condensation of delay and submitted that the delay in filing is abnormal and the assessee has not explained the reasons, which can be treated as a reasonable cause for such abnormal delay of filing the appeal. He has vehemently opposed the condensation of the delay in filing the appeal. 4. I have considered the rival s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Assessing Officer on account of difference of stock found from the survey conducted under Section 133A of the Act. 6. The Ld. AR of the assessee has submitted that the assessee is a proprietor of M/s. Sisodiya Jewellers who deals in purchase and sale of Silver items, Jewellery/Ornaments Coins etc. There was a survey under Section 133A of the Income Tax Act at the business premises of the assessee on 23rd October, 2013. During the survey proceedings stock of Silver of 48 Kg 0.069 gm. was found which was short of 8 kg 0.495 gm. as the per the stock recorded in the daybook. He has further submitted that in the statement recorded during the survey proceedings the assessee explained the difference that 5 kg 0.816 gm. of Silver Coins were se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ade an addition of ₹ 6,15,038/- on account of out of books sales of silver items. The addition is based on the discrepancy of the stock found during the survey of 8 kg 0.495 gm. in compression to the stock recorded in the daybook. It is manifest from the record that the Assessing Officer has not disputed the facts explained by the assessee in the statement recorded during the survey that 5kg .860gm of Silver coins were sent to M/s. Raj Polish Centre however, the Assessing Officer made the addition on the ground that the assessee is failed to explain the remaining quantity 2kg 0.679gm and further the said quantity has explained by the assessee is only for polishing silver coins, whereas the difference was found in the stock of Silver O ..... X X X X Extracts X X X X X X X X Extracts X X X X
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