9911796707
TMI Blog2024 (8) TMI 813X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. Therefore, assessee is in appeal before us, raising following grounds of appeal:- "1) That the Assessment order dates passed under section 22/02/2017 passed under section 143 (3) under section 143 r.w.s. 147 of the Income tax Act 1961 by the ld Income tax officer is against the law and facts on the file in as Much as had has gravely erred in computing total income Rs. 2775833/ against the return income Rs. 213130/- 2) The Assessment order dated 26/11/2018 under section 143 (3) r.w.s. 147 of the Act income tax act 1961 by the income tax officer is against the law and facts on the file in as much as he was not justified to the resont to the reassessment proceedings under section 148 and according the notice issued 148 and according the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee was provided with copies of the reasons but assessee did not raise any objection, therefore, notices under Section 143(2) and 142(1) were issued. 04. During the course of assessment proceedings, it was submitted that assessee is an individual engaged in retail trading of Jeans. Assessee was asked to furnish the source of deposit of cash. According to the learned Assessing Officer the assessee has not furnished any satisfactory explanation therefore, show cause notice was issued on 7th December, 2017. The assessee explained that as the assessee was new in the business, he purchased raw materials from local market without any bill and also sold goods and same was deposited in the bank account without raising the bills. The cash depo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... confirmed the action of the learned Assessing Officer as assessee failed to furnish any evidences of his trading business. Therefore, the assessee is in appeal before us. 06. After considering the argument of the rival parties and perusing the orders of the learned lower authorities, we find that assessee though did not file any return of income u/s 139 of the Act , but in response to notice under Section 148 of the Act, filed his return of income declaring total income of Rs. 2,13,130/-. This income was shown on the total sales of Rs. 14,19,911/-. Assessee submitted the revised computation of total income and increased the sales to Rs. 38,85,650/- and worked out net profit of Rs. 3,36,460/-. The assessee claimed that he has carried out t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e not correct in not accepting that the amount of cash deposited is out of the retail trading of Jeans. 07. Now, question arises is that what should be the amount of profit that should be taxed in the hands of the assessee. We find that assessee himself has offered to be taxed at the rate of 8.65%. Therefore, we direct the learned Assessing Officer to tax the income of the assessee at the rate of 8.65% of the amount of cash deposited which amounts to Rs. 2,40,110/-. In view of this, the addition to that extent is confirmed and balance addition required to be deleted. Accordingly, the orders of the learned lower authorities are reversed to that extent. 08. No other grounds were pressed before us. 09. In the result, the appeal of the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X
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