9911796707
TMI Blog2019 (11) TMI 1335X X X X Extracts X X X X X X X X Extracts X X X X ..... lutely bogus or falls. Accordingly, having regard to the facts and circumstances, the disallowances made by the A.O. at 20% appears to be on higher side and excessive, therefore, the same is restricted to 10%. Appeal of the assessee is allowed in part. - ITA No. 786/JP/2018 - - - Dated:- 21-10-2019 - Shri Vijay Pal Rao, Judicial Member For the Assessee : Shri Rajiv Sogani (CA) For the Revenue : Smt. Runi Pal (JCIT) ORDER PER: VIJAY PAL RAO, J.M. This appeal by the assessee is directed against the order dated 16/04/2018 of ld. CIT(A)-I, Jaipur for the A.Y. 2012-13. The assessee has raised following grounds of appeal: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd or alter any of the grounds on or before the hearing. 2. The assessee is an individual and proprietor of Gravita Sales Agencies, engaged in the distribution business of milk and other products of Saras Dairy. The assessee filed his return of income on 30/09/2012 declaring total income of ₹ 5,48,820/-. The A.O. while completing the scrutiny assessment U/s 143(3) of the Income Tax Act, 1961 (in short, the Act) has made various disallowances of expenses on account of power and fuel expenses, repair and machinery, wages, conveyance, telephone and other expenses total amounting to ₹ 5,59,287/-. Aggrieved by the order of the A.O., the assessee filed appeal before the ld. CIT(A) and contended that the assessee own ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sked to submit bills and vouchers. As regards the labour wages, the ld AR has submitted that each vehicle requires a separate driver who is not only drive the vehicle but also deliver the goods at the delivery station assigned to them. The assessee has employed six drivers for six delivery vehicles @ ₹ 12,000 per month which is most reasonable with respect to commercial vehicles. The other expenses i.e. conveyance, telephone and other were incurred to carry out the routine day to day work. The expenses were being booked on reimbursement basis to the station and therefore, proper supporting vouchers were not available. 4. On the other hand, the ld DR has submitted that the assessee has failed to furnis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 27,14,796/- 5,59,287/- From the details of the expenditures claimed and disallowances made by the A.O., it is clear that the A.O. has made 20% disallowances of these expenses for want of supporting evidences produced by the assessee. The A.O. has specifically pointed out that the assessee though claimed these expenses and booked in the P L account, however, no vouchers or bills have been produced by the assessee in support of these expenses. This fact is not in dispute as the assessee has accepted that he has not produced any bill or voucher in respect of all these expenses, 20% of which were disallowed by the A.O. The A.O., thus accepted the fact that the ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed that the repair and machinery expenses of six trucks was reasonable and the conveyance, telephone and other expenses were incurred to carry out routine day to day work and these expenses were booked on reimbursement basis and therefore, proper supporting vouchers were not available. (iii) It is an admitted fact that the vouchers for the various expenses were not maintained by the appellant and in the absence of vouchers, it cannot be ascertained whether these expenses were incurred for the purposes of the business of the appellant. The appellant did not file any evidence about the contractual understanding with the drivers as claimed during the appellate proceedings for the first time. Further, the appellant could not ..... X X X X Extracts X X X X X X X X Extracts X X X X
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