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TMI Blog2021 (10) TMI 724X X X X Extracts X X X X X X X X Extracts X X X X ..... en by the Assessing Officer. As held by the Hon ble Delhi High Court in the case of CIT vs.- Honda Siel Power Products Limited [ 2010 (7) TMI 38 - HIGH COURT OF DELHI] in cases, where the Assessing Officer adopts one of the courses permissible in law, or where two views are possible and the Assessing Officer has taken one of the possible views, the Commissioner cannot exercise his powers under section 263 to differ with the view of the Assessing Officer. Keeping in view this proposition and having regard to the facts of the case, we hold that there was no error in the order of the Assessing Officer under section 143(3) as alleged by the ld. Principal CIT - Decided in favour of assessee. - I.T.A. No. 442/KOL/2020 - - - Dated:- 8-9-2021 - Shri P.M. Jagtap, Vice-President (KZ) And Shri A.T. Varkey, Judicial Member For the Assessee : Shri S.K. Tulsiyan, Advocate Ms . Puja Somani, C.A. For the Revenue : Shri T.P. Singh, CIT (D.R.) ORDER PER SHRI P.M. JAGTAP, VICE- PRESIDENT:- This appeal filed by the assessee is directed against the order of ld. Principal Commissioner of Income Tax, Kolkata- 9, Kolkata dated 13. 03.2020 passed under section 263 of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed turnover in the hands of the assessee without bringing on record any evidence to show that there was any unaccounted expenses that were actually incurred by the assessee in connection with the undisclosed turnover. He held that the addition of only net profit @ 8% of the undisclosed turnover made by the Assessing Officer thus had rendered the assessment order made by him under section 143(3) erroneous as well as prejudicial to the interest of the revenue and accordingly a notice under section 263 was issued by him requiring the assessee to show- cause as to why the said assessment should not be revised under section 263 of the Act. In reply, reliance was placed by the assessee on various judicial pronouncements, wherein it was held that in the case of undisclosed turnover/ receipts, the entire amount of undisclosed turnover/ receipts cannot be treated as the income of the assessee and only the profit element embedded in such undisclosed turnover/ receipts can be considered as the income of the assessee. It was contended on behalf of the assessee before the ld. Principal CIT that the view taken by the Assessing Officer while adding the profit element embedded in the undisclosed t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... duly examined during the course of assessment proceedings and on such examination, profit element embedded in the undisclosed turnover/ receipts was added by him to the total income of the assessee by applying his mind to the facts of the case. He contended that this view taken by the Assessing Officer was supported by various judicial pronouncements as pointed out by the assessee before the ld. Principal CIT during the course of proceedings under section 263 and it was thus a clear case where a possible view was taken by the Assessing Officer on the issue. He reiterated before us the proposition clearly laid down in the said judicial pronouncements holding that since there cannot be undisclosed turnover/ receipts without expenses, only the profit element embedded in the undisclosed turnover/ receipts can be brought to tax and not the entire amount of undisclosed turnover/ receipts. He also relied on the various judicial pronouncements and contended that when the possible view of the matter is taken by the Assessing Officer, the ld. Principal CIT cannot substitute his own view with the possible view taken by the Assessing Officer under section 263 of the Act. 5. The ld. D.R., on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Due to shivering hands for my nerves system problem, I cannot even sign my name for last few months. All the contract jobs have been executed under W.B. Govt. Organisation named by West Bengal Power Development Corporation Ltd. at its (a) Kolaghat Thermal Power Station at Mecheda, Purba Medinipur, (b) Santaldih Thermal Power Station at Santaldih, Purulia, (c) Bakreswar Thermal Power Station at Jambuni, Suri, Birbhum. Total Contract job done during 2014- 15 year is ₹ 6,63,40,155/- and total Bank deposit for this year is as follows:- (i) UBI, Bk TPP Br. (C/A no. 1489050010044) ₹ 4,91,55,178/- (ii) SBI, Mecheda Br.(C/A No. 11111857505) ₹ 1,40,88,414/- (iii) PNB, Mecheda Br.(C/A No. 2521009300003210) ₹ 26,11, 872/- (iv) Axis Bank, Bagnan Br. C/A No. 911020066464443) ₹ 1,92.096/- 6,60,47,560/- I am enclosing herewith the consolidated sun ..... X X X X Extracts X X X X X X X X Extracts X X X X
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