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TMI Blog2014 (5) TMI 397X X X X Extracts X X X X X X X X Extracts X X X X ..... CIT(A) ought to have sustained the disallowance of lorry hire expenses – thus, the order of the CIT(A) is modified and the disallowance out of lorry hire expenses amounting to Rs.12,000 is sustained – Decided partly in favour of Revenue. - ITA No. 150/Del/2010 - - - Dated:- 2-5-2014 - Shri G. D. Agrawal And Shri I. C. Sudhir,JJ. For the Appellant : Smt. Renuka Jain Gupta, CIT-DR. For the Respondent : Shri P. K. Misra, CA. ORDER Per G. D. Agrawal, VP : This appeal by the Revenue is directed against the order of learned CIT(A)-XXII, New Delhi dated 4th November, 2009 for the AY 2006-07. 2. The Revenue has raised the following grounds of appeal:- 1. The ld.CIT(A) erred in law and on facts in deleting the di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... following finding:- 5.3 As understood from the submission and the practice in transportation business, there may not be necessarily financial transactions with the broker. The utility of broker is to make arrange availability to the interested parties, of trucks coming to Delhi from different part of country to deliver goods. The broker is a surety who cam be contacted in case of any mis-happening. Payments are not routed through brokers but made directly to drivers and broker gets payment from drivers on spot. When the brokers are not in the financial loop, their likelihood of responding to IT notices asking for confirmation of account is quite remote. Further most of them are not permanently located at one place and shift according to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ack unserved. The above facts were confronted to the assessee but he also did not produce any documentary evidence to justify the payment of lorry hire charges to those parties. He, therefore, submitted that the order of learned CIT(A) should be reversed and that of the Assessing Officer may be restored. 5. Learned counsel for the assessee, on the other hand, stated that in the transportation business, the assessee booked the trucks through the brokers. However, payment of truck hire charges is made to the drivers directly. That the broker is concerned with his brokerage only and the payment of hire charges are not routed through him. Therefore, the question of giving any reply by broker confirming the payment of hire charges does not ar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... debited by the assessee in its books of account, the details of which as given in the assessment order reads as under:- S.No. Name of the party Amount Remarks 35. Krishna Transport Co. 7000 Amt. of Rs.69269/-confirmed by the partywhereas assessee has claimed an expenditure of Rs.76269/-. Thus there is difference of Rs.7,000/-. 36. Dasmesh Golden Tpt.Co. 5000 Amt. of Rs.24,000/-confirmed by the party whereas assessee has claimed an expenditure of Rs.29000/-. Thus there is difference of Rs.5,000/-. 7. No satisfactory explanatio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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