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TMI Blog2015 (10) TMI 310X X X X Extracts X X X X X X X X Extracts X X X X ..... and various expenses debited in the P & L account - AO was of the view that the discount and rebate allowed to the customers was through self made vouchers instead of sales bills issued to the customers - Held that:- In the instant case, it is noticed that the Assessing Officer did not point out any defect in the books of accounts which were duly audited. He also did not point out any specific items of expenses which was not incurred for the business purposes. In our opinion, the Assessing Officer failed to appreciate the facts in right perspective even he did not consider this explanation of the assessee that sales bills for vehicles and spare parts were issued online through accounting software, the bills were issued on Maximum Retail Pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a) 15% out of claim of rebate discount expenses 65,484/- b) Out of claim of expenditure debited to P L a/c 55,000/- 1,20,484/- 3. That the petitioner may kindly be permitted to raise any additional or alternative grounds at or before the time of hearing. 4. The petitioner prays for justice relief. 2 Ground Nos. 3 4 are general in nature, so do not require any comments on our part. Vide Ground No. 1, the grievance of the assessee relates to the sustenance of addition of ₹ 1,50,000/-. 3. Facts relating to this issue, in brief, are that the assessee filed the return of income on 21/09/2011 d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ere prepared charging job work from customers. It was further stated that in some warranty claims, job work of denting painting work was also required to be carried out as the vehicles were dented and defaced the colour while replacements of spare parts and repair works. In these cases, payments for denting paining materials were incurred, but no separate receipts of service charges were there from the customers as vehicles were covered under warranty scheme. It was further stated that increase in the expenditure was no criteria by itself for disallowance. Reliance was placed on the following case laws:- 1) CIT Vs. Chandulal Keshavlal Co. (38 ITR 601) 2) J K Woollen Manufactures Vs. CIT (72 ITR 612) 3) Aluminum Corp. of India ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te discount expenses and ₹ 55,000/- out of the various expenses debited in the P L account. 9. Facts relating to this issue, in brief, are that the Assessing Officer during the course of assessment proceedings, noticed that the assessee claimed rebate and discount expenses of ₹ 4,36,562/- and produced the vouchers in support of the said claim. The Assessing Officer was of the view that the discount and rebate allowed to the customers was through self made vouchers instead of sales bills issued to the customers. He disallowed 20% of the expenses i.e. ₹ 87,312/-. The Assessing Officer also noticed that the assessee had claimed expenses of ₹ 27,51,032/- under various heads and about 20% of those expenses were thr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowance from other expenditure to 10% instead of 20% made by the Assessing Officer. Now the assessee is in appeal. 12. Learned counsel for the assessee reiterated the submissions made before the authorities below and further submitted that no instance of expenses being for non-business purpose was pointed out either by the Assessing Officer or by the Ld. CIT(A). Therefore, disallowance sustained by the Ld. CIT(A) was not justified. 13. In his rival submissions, learned D.R. supported the order of the Ld. CIT(A) 14. We have considered the submissions of both the parties and carefully gone through the material available on record. In the instant case, it is noticed that the Assessing Officer did not point out any defect in the books ..... X X X X Extracts X X X X X X X X Extracts X X X X
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