9911796707
TMI Blog2013 (12) TMI 476X X X X Extracts X X X X X X X X Extracts X X X X ..... to Rs.3,40,902/- on the ground that the peak of credit theory is to be applied without appreciating the fact that the assessee did not disclose the bank account of The Surat People's Co-op Bank Ltd. and that the credits the bank account were not made out of sales/debtors and assessee failed to link the theory that the cash deposits were made out of income from his retail business. [2] On the facts and in the circumstances of the case, the Ld. CIT(A) ought to have upheld the order of the Assessing Officer. [3] It is, therefore, prayed that the order of the Ld. CIT(A) may be set- aside and that of the Assessing Officer may be restored." 3. None appeared on behalf of the assessee on the appointed date of hearing although notice has been is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e and sale transactions comes at Rs.1,61,039/- (on 03.11.2007) and self cheques discounting transactions comes at Rs.1,33,000/- (on 10.09.2007). Further, these peak balances pertain upto a particular date of financial year which included the profit earned by appellant on these transactions till the date. However, the profit on the transactions of the later part of the year has also to be worked out. As per working given by appellant, this gross profit comes to Rs.1,281/- on turnover subsequent to peak amount at Rs.21,349/- on purchase and sale transactions, applying the rate of 6% which is shown in the regular business of appellant. Similarly, for self cheques discounting transactions, GP comes at Rs.45,582/- on the turnover of Rs.7,59,700/ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or to peak date although as per the assessment order it has come out that on 29-08-2007 i.e. prior to peak date, a cheque was issued of Rs.15,000/- towards payment of SBI Card and there was another payment to Raman Leela Sales for which date is not available in the assessment order. The learned CIT(A) ought to have examined this aspect of the matter regarding expenditure/investment before peak date and ought to have made addition for the same. Since, it was not done by the learned CIT(A), we are of the considered opinion that the working of peak by the learned CIT(A) is not sustainable. Although, we approve in principle that in the facts of the present case, addition should be made on the basis of peak and not for entire credit in the undis ..... X X X X Extracts X X X X X X X X Extracts X X X X
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