9911796707
TMI Blog2012 (10) TMI 745X X X X Extracts X X X X X X X X Extracts X X X X ..... nothing of the sort has been done by AO and based on some vague discussion, he has made such un-narrated disallowance, which is neither justified in facts nor in law. The disallowance made at Rs. 15 lakh is hereby deleted - in favour of assessee. Addition in respect of amount credited in the Bank account through R.T.G.S - CIT(A) deleted the addition - Held that:- On verifying the letter issued by Bank of India, Khandwa Branch, confirming the transaction made with TATA Chemicals Limited through RTGS the amount of Rs. 56.50 lacs was received by assessee from company for purchase of Soya bean on its behalf. Accordingly, there is no infirmity in the order of the CIT(A) for deleting the addition as per fpositive material on record - in favou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowing observations :- 4.2. Second ground is directed against disallowance of Rs. 15 lac out of net claim at Rs. 19,89,363/- on account of Shortage, Metti, Damage, Rate difference, Moisture etc as discussed by AO at pages 6 to 8 of assessment order. The AO found that out of gross claim allowed by appellant at Rs. 24,01,873/-, the amount allowed to M/s. Vippy stood at Rs. 22,87,377/-. The appellant was accordingly called up on to explain. It was explained before AO that the same was allowed as per agreed terms between the appellant and M/s. Vippy and filed entry wise details. Before AO it was also explained that an amount of Rs. 92886/- was also allowed to M/s. Rama Phosphate Dharampuri and Rs. 10782/- to another party. The AO was howev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... out any case for making such huge disallowance out of claim duly supported by evidences and details on record. He has casually discussed that turnover of the appellant with M/s. Vippy was 'bit' percentage only without varying the facts on record. Further still for making any disallowance u/s 37(1) again recourse to provision of section 145 is very difficult to understand and appreciate. It may be noted that for disallowing any claim of expenses, what is required to be established is that either the claim is ingenuine, bogus or Incurred for nonbusiness purpose/consideration or is excessive vis-a-vis some comparable case' or the past history of the appellant's case or vis-a-vis the turnover or the like. But nothing of the sort has been done ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ltd., Dewas, was supported by documentary proof (copy of account of M/s., Vippy Solvex Limited, Dewas. Without pointing out any defect therein, the Assessing Officer invoked provisions of Section 145 of the Act and disallowed an amount of Rs. 15,00,000/- on ad hoc basis. The assessee is neither relative of any director nor a shareholder of M/s. Vippy Solvex Limited, Dewas. Deductions made and debited to claim a/c was not in the nature of any ex-gratia payment to reduce the tax burden but it was in the ordinary course of assessee s business of trading of soyabean. 7. We have verified statement of account of M/s. Vippy Solvex Limited and found that the deduction has been made out of the amount due from the assessee on account of shortage, d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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