TMI Blog2022 (10) TMI 240X X X X Extracts X X X X X X X X Extracts X X X X ..... rough proper banking channels. Both these authorities have concurrently concluded that the assessee had made purchases materials and reflected the same materials to various authorities in a Stock Register. No reason to conclude otherwise and accordingly find no infirmity with findings and conclusions arrived at by the CIT or with the concurrent view taken by the Tribunal on this matter. The judgment rendered in VAMAN INTERNATIONAL PVT. LTD. [ 2020 (2) TMI 464 - BOMBAY HIGH COURT] applies in all vigor to the facts of the present case. No substantial question of law as envisaged under section 260 (A) of the Act arises in the present matter. Accordingly, we dismiss the appeal. - INCOME TAX APPEAL NO. 456 OF 2018 - - - Dated:- 30-9-2022 - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ses made by the assessee-respondent herein, aggregating to Rs.3,75,87,293/- and treated the same as unexplained expenditure for the assessment year 2010-2011, and consequently assessing the same to tax. 3. From the substantial question of law proposed by the revenue, the issue for our consideration is whether the additions made by the Assessing Officer to the income of the assessee, invoking the Provision of section 69 C of the Act, as unexplained expenditures were sustainable at law . From a perusal of the assessment order, it appears that during the assessment proceedings, the assessee was asked to furnish a list of the persons from whom purchases had been made by him; further, it appears that he furnished his stock book and various o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the goods from the said parties and the subsequent sales made by the assessee to third parties. 5. After considering the reply of the assessee and the material placed by him on record in answer to the show cause notice, the Assessing Officer passed assessment order dated 28 th December 2012 rejecting the contention of the assessee and concluded that the transactions are not supported in the form of lorry receipts or delivery challans. He further concluded that the affidavit produced by the five suspicious dealers were not sufficiently rebutted by the assessee and consequently passed an assessment order under section 143 (3) of the Act making additions to the income of the assessee in terms of section 69 C of the Act for the amount of Rs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appeal, after arrived at the specific finding that the assessee has established the genuineness of these purchases. It is a fact on record that the Assessing Officer has not doubted the sales effected by the assessee and accordingly set aside the order passed by the Assessing Officer to the extent of the additions made by him. 7. In an appeal filed by the revenue before the ITAT, the Tribunal, after reassessing all the material on record before the Assessing Officer has arrived at concurrent findings to those arrived at by the Commissioner of Income Tax, and specifically held that without causing any further enquires in respect of the said purchases, the Assessing Officer cannot make the addition under section 69 C of the Act by mer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sions of this Act, such unexplained expenditure which is deemed to be the income of the assessee shall not be allowed as a deduction under any head of income. 10. The above provisions contain a deeming provisions whereby if the assessee increase any expenditure in the relevant previous year, but does not offer any explanation about a source of such expenditure, such expenditure is deemed to be his income and shall not be allowed as a deduction under that head. 11. Learned counsel for the appellant argues before us that the findings of fact arrived at by the Commissioner of Income Tax which are concurrently upheld by the ITAT as perverse and without considering the material placed by the assessee before the Assessing Officer in the r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... first appellate authority while deleting the addition made by the AO under s. 69 C held that AO did not doubt the sales and stock records maintained by the assessee. By submitting confirmation letters, copies of invoices, bank statement, payment order, payment by account payee cheques etc. assessee had proved that sale and purchases had taken place. By highlighting the fact that all the payments against the purchases were made through banking channel by way of account payee cheques, the first appellate authority held that source of expenditure was fully established by the assessee beyond any doubt. He has further recorded that during appellate proceedings the assessee had furnished complete quantitative details of the items of goods purchas ..... X X X X Extracts X X X X X X X X Extracts X X X X
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