9911796707
TMI Blog1991 (1) TMI 216X X X X Extracts X X X X X X X X Extracts X X X X ..... d stock found as a result of survey on 17th Sept., 1982. As per the survey team, the excess stock found was as under: Kind of Grains Excess stock found (in qtls.) Value (in Rs.) (1) Wheat 5 1,250 (2) Raida 200 82,000 (3) Arandi 21 4,620 (4) Tara Mira 17 5,100 (5) Alsi 2 900 (6) Moong 2 660 Total . 94,530 The excess stock had been calculated by the survey party as also by the ITO in the assessment order on the presumption that each of the bags of different grains contained 100 kgs. "Bharti"(local standardised actual weight of the contents of the bag). The case of the assessee was that the "Bharti" had been wrongly taken as 100 kgs. and that it differed commodity to commodity. It was said that for wheat "Bharti" was about 90 kgs and for Raida 85 kgs. It was also said that the purchases and sale were made on the basis of the actual weight of each bag. It was further stated that so far as Raida was concerned 169 bags had been sold to one M/s Narendra Kumar Co. on 11th Aug., 1982 vide Bill No. 4316 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Grain Bharti (per bag). (1) Wheat 90 to 100 kgs. (2) Raida 80 to 85 kgs. (3) Tara Mira 80 to 85 kgs. (4) Moong 90 to 100 kgs. (5) Aranda 60 to 65 kgs. The assessee's case before the learned Commissioner(A) was that the "Bharti" of wheat was 90 to 96 kgs. The learned Commissioner(A) had taken the Bharti as 96 kgs. Similarly, the case of the assessee regarding Raida was that the Bharti was 85 kgs. and the same had been taken by the learned Commissioner(A). So far as the wheat is concerned, we may point out that the details of bills at pages 15 to 17, to which our attention was drawn on behalf of the assessee, also support the Bharti taken by the learned Commissioner(A). So far as Bhartis for other grains taken by the Commissioner(A) are concerned, we do not find them to be unreasonable. So far as the shortage in Raida is concerned, the finding of the learned Commissioner(A) that 169 bags of Raida has been sold to M/s Narendra Kumar Co. vide bill dt. 11th Aug., 1982 and that it had been lifted only on 20th Sept., 1982 appears to be correct. Firstly, the assessee had produced certain ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... one week, Nainaram had to again go to the cattle fair in Devigarh. However, the case of the assessee was not believed and the amount was added as the assessee's income. It is relevant to notice in this connection that apart from the affidavit, the statement of Shri Nainaram had been taken on 7th Oct., 1982 before the Inspector and again before the ITO on 18th March, 1983. 6. In appeal, the learned Commissioner(A) upheld the order of the ITO and confirmed the addition on account of the certain contradictions between the statement of Shri Nainaram before the Inspector and before the ITO. He preferred to follow the statement given before the Inspector. 7. The rival submissions have been considered on this point. Shri Nainaram Bhatt is an agriculturist having 100 bighas of land and having 10 buffaloes and 10 cows. The Suapanch of Gram Panchayat Bimani had given a certificate on 16th Sept., 1985 that he had 42 animals including 14 cows, 6 buffaloes and 22 oxen. The assessee had filed a receipt dt. 8th Oct., 1980 in the name of Nainaram for Rs. 1,120 from the Commercial Taxes Department. The account of Shri Naina Ram as also the copy of his bank account were filed. The assessee also ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase of the assessee in material particulars and there is no contradiction of which the Department could take advantage since it was the statement given before the IT Inspector which was not put to him during his examination before the ITO. It is also not possible to believe that on the affidavit he had signed on a blank paper. Therefore, here also the addition made was not sustainable. We similarly delete the same. 11. So far as the excess cash amount of Rs. 1,047 is concerned, it has been mentioned in the grounds of appeal as 2,597. We find from the order of the ITO that the amount was not seized and that since the assessee was not able to give satisfactory explanation for the same, it was added. The assessment order further records the fact that the amount of cash found was Rs. 4,445 out of which Rs. 3,398 was cash balance as per the cash book. That is how the amount of Rs. 1047 was held to be excessive. 12. The learned Commissioner(A) had confirmed the addition in regard to this amount on the same basis. 13. After hearing the learned representatives on both the sides and in view of the complete absence of explanation on behalf of the assessee, the addition of the amount of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en any loan from the assessee. In the face of such evidence it is not clear as to how the IT authorities could have drawn the inference that the assessee had advanced loans to those persons who had pawned the ornaments. There is also no evidence that the assessee was doing any pawning business. In this connection the statement dt. 17th Sept., 1982, and the various letters dt. 22nd Nov., 1982, 3rd Sept., 1985, 12th Sept., 1985, 17th Sept., 1985 and the written submissions before the learned Commissioner(A) are relevant. Shri Bhanwar Singh's statement also appears to have taken, though its copy has not been placed on the paper book. Shri Narain Singh has stated that his daughter came to the village to stay for about a month and it were her gold ornaments weighing 8 tolas which have been kept with the assessee for safe custody. The IT authorities appeared to have unduly influenced by the fact that ornaments belonging to other members of the family of these two persons had not been similarly entrusted to the assessee for safe custody. We, therefore, see no justification on facts for making any addition. The same is accordingly deleted. 17. The next ground relates to the disallowance ..... X X X X Extracts X X X X X X X X Extracts X X X X
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