2013 (2) TMI 906 - AT - Income Tax

Summary

Issues involved: Appeal against orders of CIT(A) for assessment years 2004-05 and 2005-06, involving suppression of sales, foreign travel expenses, professional charges, excess claim of depreciation, and Keyman Insurance Premium.

Assessment Year 2004-05:
The assessee, a private limited company engaged in interior decoration and furniture manufacturing, faced assessment under section 143(3) and 147. The CIT(A) allowed the appeal, stating no suppression of sales and justifying foreign travel expenses related to machinery import. The Revenue challenged the CIT(A) order on suppressed turnover and foreign travel expenditure, but the Tribunal upheld the CIT(A) findings, dismissing the Revenue's appeal.

Assessment Year 2005-06:
The assessee's income return was challenged under sections 143(3) and 147, resulting in additions for depreciation, professional charges, and Keyman Insurance Premium. The CIT(A) allowed the appeal by deleting all additions. The Revenue contested the CIT(A) decision on professional receipts and Keyman Insurance Premium, but the Tribunal upheld the CIT(A) findings, dismissing the Revenue's appeal. The Cross Objections filed by the assessee were also dismissed as infructuous.

The Tribunal, after considering submissions and lower authorities' orders, upheld the CIT(A) findings for both assessment years, concluding that there was no suppression of receipts and justifying the expenses claimed by the assessee. The appeals of the Revenue and Cross Objections of the assessee were dismissed for both assessment years.