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2010 (1) TMI 805 - ITAT, DELHIIncome from undisclosed sources and commission paid thereon - assessee claimed long term capital gains on sale of shares - Held that:- sale price is exorbitant and logically absurd merely payment of STT will also not make the transaction genuine inasmuch as it is a voluntary payment by the broker. AO has carried out meticulous enquiries, non availability of relevant supporting material clearly questions the veracity of purchase and sale transaction of shares by assessee. The same is further strengthened by the fact that the assessee in his return for Asstt. Year 2004-05 did not report the cash purchases of shares. On the sale front also except cheque payments, Strength of shares of QSIL, its trading activities still remain mysteries and exorbitant share price is unbelievable on the facts, merely on the broker's note, it cannot be held that the transaction was infallible. order of CIT(A) set aside and restore the order of AO confirming additions on this account. This ground of revenue is allowed. Addition made on account of vehicle running expenses - personal use of car for non-business purposes - petrol, repair etc in which the use of the personal nature cannot be ruled out. Therefore, the AO's "action in disallowing 1/5th out of these expenses is upheld. Disallowance of telephone expenses - personal use of telephone for non business purposes - disallowance to the extent of one fifth out of the total telephone expenses – Held that:- expenses have been incurred on the office. Yet the personal element cannot be ruled out of such expenses. Keeping in view the turnover and the business results of the appellant, the disallowance is restricted to 1/8th of such expenses
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