TMI Blog2023 (1) TMI 1211X X X X Extracts X X X X X X X X Extracts X X X X ..... e of 1.25% on the undisclosed turnover of the assessee. We accordingly set aside the order of Ld. CIT(A) and direct the AO to apply the rate of 1.25% on undisclosed turnover instead of 8%. Accordingly the appeal of the assessee is partly allowed. - I.T.A. No. 652/Kol/2022 - - - Dated:- 4-1-2023 - Shri Rajesh Kumar, Accountant Member And Shri SonjoySarma, Judicial Member For the Appellant: Shri Miraj D Shah, A.R For the Respondent: Shri P. P. Barman, Addl. CIT ORDER Per Rajesh Kumar, AM: This is the appeal preferred by the assessee against the order of the Ld. Commissioner of Income Tax (Appeals)-NFAC, Delhi (hereinafter referred to as the Ld. CIT(A) ] dated 15.07.2022 for the AY 2017-18. 2. The only issue r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The statutory notices were duly issued and served on the assessee. During the course of assessment proceedings, the AO observed that cash deposited during demonetization period i.e. 9.11.2016 to 30.12.2016 amounting to Rs. 75,57,000/- in Allahabad Bank in bank account no. 29306 and Rs. 2,00,000/- in account no. 08405 with Union Bank of India. Accordingly the assessee was called upon to explain the source of such cash deposits failing which why the same should not be added as unexplained money u/s 69A of the Act. The assessee filed necessary details before the AO and replied in response to the said show cause notice. The AO observed on the basis of said reply that during 01.04.2016 to 30.03.2017 the total deposits were Rs. 6,03,54,234/- but ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat the order passed by the AO is in proper order and in accordance with law. Hence, I am not inclined to interfere in the order of the AO and accordingly the addition u/s 44AD of Rs. 42,08,115/- being @ 8% of Rs. 5,26,01,438/ made by the AO is hereby sustained. 8. After hearing the rival parties and perusing the material on record, we find that there is no dispute about the fact that the AO has accepted the plea of the assessee qua the deposits in the bank accounts of the assessee to be undisclosed turnover which was to the tune of Rs. 5,26,01,438/-. Now the only plea before us as raised by the assessee in the grounds of appeal is against the application of profit rate @8% which was stated to on the higher side as in the trade of asse ..... X X X X Extracts X X X X X X X X Extracts X X X X
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