9911796707
TMI Blog2017 (4) TMI 1310X X X X Extracts X X X X X X X X Extracts X X X X ..... angal Respondent By: Sh. Ashok Goyal, Sh. Deepak Aggarwal ORDER Per Sanjay Garg, Judicial Member: The above captioned appeals relating to different assessees are arising from separate orders of Commissioner of Income Tax (Appeals), [hereinafter referred to as CIT(A)] Patiala. 2. Since facts and issue involved in all the appeals are identical and the same were heard together, these are being disposed off by this common order. 3. Before proceedings further, we deem it fit to mention here that in ITA No. 393/Chd/2017, a request for adjournment has been received whereas in ITA Nos. 400/Chd/2017 and 403/Chd/2017, no one has come present despite notice. However, since the matter in other appeals is adequately represented by the counsels of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... some days, electric units consumed were very low whereas finished goods produced were very high giving a very low value of electric units consumed to per ton of finished goods, whereas on some other days, electric units consumed were very high whereas the finished goods produced were very less giving a very high value of electric units consumed per metric unit of finished goods. He further observed that even on some days though there was electricity consumption yet no production was shown. He further noted that otherwise on other days, there was also a balance and consistency in consumption of electric units vis-a-vis production of finished goods. He, therefore, observed that it indicated that the daily production recorded by the assessee o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessee and estimated the unaccounted production for each month. Thereafter, on the basis of average sales rate, the value of total unaccounted production was estimated. Then adopting the gross profit rate shown by the assessee, the unaccounted profit out of the unaccounted production was worked out. Secondly the peak unaccounted production for the relevant month was determined and by multiplying the average sale rate of finished goods, the unaccounted investment was worked out. The Assessing officer in this way worked out the total unaccounted income of the assessee out of the unaccounted production at Rs. 86,88,365/- and added back the same to the income of the assessee. 5. Being aggrieved from the above order of the Assessing office ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ala held that as decided by the Committee, the assessee was entitled to benefit of 15% variation in consumption of electricity per metric ton of finished goods produced from the average worked out on yearly basis and the variation up to 15% would not warrant any adverse cognizance. He accordingly held that since pursuant to the report of the committee, the Assessing officer has already followed this norm while making the assessment in similar cases and in same set of circumstances has accepted the books results shown by the assessee which included the assessee as well, hence, he following the principle of consistency laid down by the Hon'ble Punjab & Haryana High Court in the case of CIT Vs. RIETA Biscuits Co. (P) Ltd [2009] 309 ITR 154 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Income Tax, Patiala. 9. The Ld. counsel has stated that this matter need not to be restored in the present appeals as the Ld. CIT(A) while deciding the above appeals in favour of the assessee has already followed the internal guidelines of the committee constituted by the Principal Commissioner of Income Tax, Patiala. That the Committee so constituted was a Broad based Multi Member body having Additional Commissioner of income Tax, Mandi Gobindgarh as its Head and all the Assessing officers of the Range as its Members. It was also assisted by the experts of the National Institute of the Secondary Steel Technology (NISST) and the Industry representatives. The Ld. CIT(A) has accepted the variation of 15% in consumption of electricity per ..... X X X X Extracts X X X X X X X X Extracts X X X X
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