9911796707
TMI Blog1999 (3) TMI 450X X X X Extracts X X X X X X X X Extracts X X X X ..... objection by the revenue is against the order of the learned CIT(A) in directing the Assessing Officer to assess the interest income on term deposits and fixed deposits as business income. 2. The assessee is a civil contractor. Return of income declaring total income of Rs. 1,87,320 was filed on 31st October, 1995. With regard to the first ground of appeal, it is seen that similar issue was a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... partners at 6.5 per cent which was low, according to the Assessing Officer. He further noted that the assessee has not maintained any work-wise account. It was the case of the assessee that it was not possible to verify the value of the work performed at each site, material consumed and the labour expenses incurred etc. The assessee replied that because of large number of sites, work-wise accounts ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r side. He made the lump sum addition of Rs. 30,000 resorting to section 145(1). When the matter was carried before the learned CIT(A), he reduced the addition to Rs. 15,000 on the ground that the learned Assessing Officer has pointed out any specific defects in the books of account. However, he held that in the absence of any explanation whatsoever, for the specific defect pointed out by the Asse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the FDRs the assessee had provided interest only for part period of the year whereas the assessee is following the mercantile system of accounting. Therefore, the Assessing Officer estimated the addition interest upto 31st March, 1995 at Rs. 10,100 and added it to the total income of the assessee. When the matter was carried before the learned CIT(A), he found that the assessee was following th ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
