9911796707
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Issues:
1. Assessment of income from commission and interest for the assessment years 1975-76 and 1976-77. 2. Addition of undisclosed income based on lack of evidence and discrepancies in profit and loss accounts. 3. Reconciliation of conflicting profit and loss accounts before the ITO and the IAC. 4. Justification of the Commissioner (Appeals) setting aside the assessments and directing a fresh assessment. Detailed Analysis: 1. The appeals before the Appellate Tribunal ITAT Bombay-A involved the assessment of income from commission and interest for the years 1975-76 and 1976-77 by an individual taxpayer. The taxpayer shifted residence from Goa to Bombay and filed returns declaring income without maintaining proper books of accounts for the commission business. 2. The Income Tax Officer (ITO) proposed additions to the income due to lack of evidence regarding the commission business and discrepancies in the balance sheets. The IAC approved the additions based on the original statements, ignoring revised statements filed later by the taxpayer. 3. The taxpayer appealed to the Commissioner (Appeals), arguing that the original profit and loss accounts were incorrect and hastily prepared. The Commissioner (Appeals) found material discrepancies between the balance sheets filed before the ITO and the IAC, requiring reconciliation and proper scrutiny of bank accounts. 4. The Commissioner (Appeals) set aside the assessments and directed the ITO to conduct a fresh assessment, considering the discrepancies and lack of past records before finalizing the assessment orders. The Appellate Tribunal upheld the Commissioner (Appeals) decision, emphasizing the need for reconciliation and proper consideration of all relevant materials. 5. The Tribunal dismissed the appeals, supporting the Commissioner (Appeals) decision to set aside the assessments and conduct a fresh assessment to ensure accuracy and fairness in determining the taxpayer's income from commission and interest for the relevant years.
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