9911796707
TMI Blog2010 (7) TMI 1015X X X X Extracts X X X X X X X X Extracts X X X X ..... ear 2003-04 proposing to raise the following substantial questions of law :- I. Whether on the facts and circumstances of the case the ITAT was not justified in allowing partial relief by confirming the net rate of profit at 11 per cent as against 12 per cent as applied by the authorities below without appreciating the past history as supported by the stand of the revenue through its Sr. DR while arguing the case before it? II. Whether on the facts and in the circumstances of the case the Income-tax Appellate Tribunal was not justified in not adjudicating and thereby denying the claim of depreciation to the appellant under section 32 of the Income-tax Act, 1961 which though is allowable in view of trite law that in cases of applicati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e same being quoted as a precedent. The Tribunal observed as under :- ... The assessee showed the gross receipts of ₹ 1,22,28,341 and worked out the income at ₹ 12,22,834 which is exactly 10 per cent of the assessable receipts. During assessment proceedings, the assessee was asked to produce the books of account as well as details of expenses supported by bills and vouchers. The assessee was also asked to intimate the justification for applying rate of 10 per cent on the gross receipts. The claim of the assessee is that no regular books of account have been maintained by the assessee. Even vide its reply, during assessment proceedings the assessee admitted that it did not maintain regular books of account but only a ledger t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ned that in the past, the flat rate of 10 per cent on the gross receipts was applied as the books of account were rejected. If this reasoning is applied to the present appeal, even if we presume that no books are maintained or if maintained are not to the satisfaction of the learned Assessing Officer, still the net result is that the books are not reliable but fact remains that the assessee at one hand claiming that one register was maintained and on the other hand did not produce the relevant bills and vouchers on the basis of which the said register was maintained. Without going into much delibera- tion and to put an end to the litigation we restrict the rate to 11 per cent in place of 12 per cent adopted by the Assessing Officer and upho ..... X X X X Extracts X X X X X X X X Extracts X X X X
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