9911796707
TMI Blog2021 (9) TMI 1203X X X X Extracts X X X X X X X X Extracts X X X X ..... Rejecting the loss claimed - HELD THAT:- CIT(A)'s reasoning by considering the reconstructed trading account is proper and we do not find any reason to interfere with decision of CIT(A). Accordingly, we uphold the order of the CIT(A) and dismiss the ground. Addition made towards income on speculative business - CIT(A) deleted the same observing that since the said amount already brought into the constructed trading account and decided to ignore the resultant loss, the question with regard to head of that income is only academic interest - HELD THAT:- We are in agreement with the CIT(A)'s observations and, therefore, the ground raised by the revenue is dismissed on this issue. - ITA Nos. 2059 & 2203/H/2017 - - - Dated:- 21-9- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the AO, the assessee preferred an appeal before the CIT(A) and the CIT(A) partly allowed the appeal of the assessee by observing as under: IX) The submissions of the appellant and the findings in the assessment order have been perused. Though the Assessing Officer is justified with regard to rejection of book results, as held by various judicial authorities, the AO has to estimate the income in a judicious and reasonable manner. In this connection the reconstructed trading account furnished by the appellant has been seen. The same is an under: Trading account By To Electricity expenses 15,07,26, 753 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ds of the justice. Therefore, the total income is decided as Nil rejecting the loss claimed to have been incurred by the appellant. Hence, Ground No. 4 in appeal is allowed. XI) Ground No. 5 in appeal relates to treating the income from other source as income from speculation business. The other point now left out is whether the receipts of ₹ 4,23,51,491/- constitute income from other sources or income from speculation business. In view of above discussion and as the amount was already brought into the reconstructed trading account and it was decided to ignore the resultant loss, the question with regard to head of that income is only of academic interest and therefore it does not require any adjudication. Hence, Ground No. 5 in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ;s case. 8. The Ld. CIT (A) erred in rejecting the loss claimed of ₹ 50,08,147/- and in determining the income at Rs. Nil for the asst year under consideration. 9. Without prejudice to other grounds, the Ld. CIT (A), having accepted the books of account of the assessee, erred in disallowing expenditure by merely relying on the statement without bringing any corroborative evidence on record. 10. Without prejudice to other grounds, the Ld. CIT (A) erred in not giving any opportunity of being heard while making a fresh addition to the income of the assessee viz. a viz. improving the order of assessing officer 11. The appellant may add or alter or amend or modify or substitute or delete and I or rescind all or any of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble to produce the complete books of accounts and purchase bills and also bills in support of expenditure incurred. In the written submission it was submitted that the appellant was in the business of manufacturing of silicon manganese and ferro silicon and maintained regular account books for the business carried on. It was also submitted that the appellant filed return of income along with audited financial statements and therefore the assessing officer was not justified to reject the book results, without furnishing any convincing reasons. 6.1. The CIT(A) observed that it is the duty of the appellant to produce the information required including the account books in response to the notice issued u/s. 143(2) of the IT Act. The observat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the same. 10. As regards ground Nos. 2 3 raised by the revenue relating the action of the CIT(A) in deleting the addition made at ₹ 4,23,51,494/- towards income on speculative business, the CIT(A) deleted the same observing that since the said amount already brought into the constructed trading account and decided to ignore the resultant loss, the question with regard to head of that income is only academic interest. 10.1. After hearing both the parties and perusing the material on record, we are in agreement with the CIT(A)'s observations and, therefore, the ground raised by the revenue is dismissed on this issue. 11. We make it clear that the decision in this order shall not be taken as a precedent for any other case ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
