2022 (10) TMI 337

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..... dated 06.12.2019 of the CIT(A), Delhi-13, relating to Assessment Year 2011-12. 2. The grounds raised by the assessee read as under : - "1. The impugned assessment is invalid and without jurisdiction as the said assessment is completed without complying with legal requirements of the provisions of the Income Tax Act therefore such assessment is void ab initio and liable to be quashed. 2. The .....

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..... y and such mechanical approval vitiates the reassessment proceedings. 5. The Ld CIT(A) has erred both in law and on facts in confirming the estimated addition of Rs.24,87,067/- ignoring the fact that the estimation by the AO is arbitrary, without any basis and therefore the same need be set aside. 6. The action of the Ld CIT(A) in confirming the estimated addition is unsustainable in law as .....

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..... also submitted that the estimated addition is unsustainable in law as the same has been made without complying with mandatory provisions of sec 145(1) of IT Act in absence of any finding that the books of account not found to be reliable for computation of income. Placing reliance on the various orders and judgements, the ld. AR submitted that as per the order of the Hon'ble Bombay High Court in t .....

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..... the impugned amount as commission is quite correct and the same cannot be disturbed or set aside. He has further submitted that the ld.CIT(A) was right in confirming the addition made by the assessee. Therefore, the assessment as well as the first appellate order may kindly be confirmed. However, the ld. Sr. DR agreed to the factual situation that various High Courts and coordinate Benches of the .....

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..... fully following the judgement of the jurisdictional High Court of Delhi in the case of JKD Brokers P. Ltd. vs. CIT (supra) the estimation made by the AO is reduced to 1% of aggregate credits and the AO is directed to recompute the addition accordingly. Grounds No.5 and 6 of the assessee are, thus, partly allowed. 7. In the result, the appeal of the assessee is partly allowed. Order pronounced in .....

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