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TMI Blog2015 (12) TMI 555X X X X Extracts X X X X X X X X Extracts X X X X ..... onsequently books are upheld, addition in this behalf is deleted. Disallowance of miscellaneous expenses, it is observed that the expenditure is incurred wholly and exclusively for the purpose of business. Merely because some expenditure is claimed on the basis of self made vouchers cannot make the expenditure disallowable. - Decided in favour of assessee. - ITA No. 230/JP/2014 - - - Dated:- 9-10-2015 - SHRI R.P. TOLANI, JUDICIAL MEMBER For The Assessee : Shri Manish Agarwal, CA For The Revenue : Shri O.P. Bhateja, Addl. CIT ORDER PER R.P. TOLANI, JM This is an appeal filed by the assessee against the order of the ld. CIT(A)-II, Jaipur dated 2-01-2014 for the assessment year 2008-09 wherein the assessee has r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1. Misc. Expenses 59,324.00 2,966.00 2. Travelling Expenses 68,008.00 3,400.00 3. Wages 5,91,026.00 29,551.00 35,917.000 4.1 That the ld. CIT(A) has failed to appreciate the fact that the ld. AO has not pointed out even a single instance wherein personal element is involved and has based his conclusion on mere assumption and presumptions. Thus the disallowance so sustained deserves to be deleted. 2.1 During the course of hearing, the ld. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the relevant details regarding opening stock, production, sales and closing stock of raw material as well as finished goods before the ld. AO, besides details of closing stock, its valuation based on bills of purchase during the course of assessment proceedings. Despite voluminous compliance, a wrong finding has been given that proper stock records are not maintained. 2.4 It is contended that when proper books of account along with duly audited by Form 3CD, requisite details before ld. AO then there is no justification for rejecting the books of account and making estimated addition on gross profit. Reliance is placed as under:- (i) CIT vs. Gotan Lime Khanij Udyog, 256 ITR 243 (Raj. (ii) Ajay Goyal vs. ITO, 99 TTJ 164 2.5 Aprop ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aterials available on record. As far as the gross profit addition in respect of M/s. S.R. Presstress Industries, Mantri Industries and M/s. Mantri Pole Udyog are concerned, the assessee maintained proper books of account duly supported by the audit report in form 3 CD. The mistakes pointed out by the AO for rejecting the books of account are untenable inasmuch as assessee's taxable profits can be ascertained on the basis of documents and records furnished by the assessee. In view thereof, I see no justification in rejecting the books of account and estimation of gross profit. Consequently books are upheld, addition in this behalf is deleted. 2.11 Apropos 3rd ground of the assessee about disallowance of miscellaneous expenses, it is o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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