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TMI Blog2013 (10) TMI 698X X X X Extracts X X X X X X X X Extracts X X X X ..... tricting the agricultural income to Rs.6,30,000/- as against Rs.7,59,664/- returned by the assessee. (b) Assessment of credits in the capital account at Rs.5,06,000/- (c) Assessment of loans of Rs.9,21,925/-. (d) Confirmation of addition of Rs.6,80,000/- relating to the transfer made from loan account to the capital account. (e) Assessment of difference in the balance of the parties at Rs.8,27,237/-. (f) Confirmation of addition out of foreign travel expenses of Rs.1,50,355/-. (g) Disallowance of 1/5th of the sales promotion expenses. (h) Disallowance of 1/5th depreciation claimed on vehicles. 3. The facts relating to the case are stated in brief. The assessee is an individual and is carrying on business of retail trading in medicin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r consideration. Hence, the assessing officer held that the assessee was having only about 12.60 acres during the year under consideration. Accordingly, the Assessing Officer estimated the net income from rubber estate at Rs.50,000/- per acre and accordingly, determined the agricultural income at Rs.6,30,000/-, as against Rs.7,59,664/- declared by the assessee. The Assessing Officer, accordingly, assessed the difference between the two amounts, referred above, i.e., Rs. 1,29,664/- as income of the assessee under the head income from other sources. 5. Before the Ld. CIT(A), the assessee submitted that the land having an extent of 1.30 acres, though acquired in April, 2007, yet he was in possession of the same even prior to March, 2007 and w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and hence the AO assessed them as income of the assessee u/s 68 of the Act. Ld CIT(A) also confirmed the said assessments on the reasoning that the assessee has failed to furnish any explanation. 8. Before us, the Ld Counsel submitted that the assessee, in fact, furnished before Ld CIT(A), the copies of confirmation letters obtained from various creditors in support of the above said cash credits. However, the first appellate authority refused to consider them and also did not discuss anything about them in his order. The Ld A.R submitted that the assessee would be subjected to great difficulties, if these evidences were not considered. The Ld A.R also furnished before us copies of confirmation letters obtained from various creditors and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee did not furnish any detail to show that the said trip was for business purposes. Before Ld CIT(A), the assessee submitted that the foreign travel expenses was only to the tune of Rs.1,50,355/- and the balance amount of Rs.1,44,485/- represents domestic travelling expenses incurred by employees and others. Accepting the said contentions, the Ld CIT(A) reduced the disallowance to Rs.1,50,355/-, i.e., to the extent of foreign travel expenses, since the explanations furnished by the assessee relating to foreign travel was not convincing to him. 11. Before us, the Ld A.R submitted that the assessee had undertaken foreign trip to Europe in order to explore export markets. However, as held by Ld CIT(A), this explanation appears to be a vague s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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