9911796707
TMI Blog2024 (11) TMI 1030X X X X Extracts X X X X X X X X Extracts X X X X ..... CL (a public sector undertaking) which is run by the assessee in the name of M/s. Pappu Fuel Station. Determination of Net profit earned during the year - Assessee has declared a net profit of Rs. 3,07,646/- and gross profit of Rs. 9,29,949/- on the gross sales of 3.23 Crore. Books of accounts have been audited by the Chartered Accountant Farm namely Sujit Mishra and Associates dated 30.09.2017. Quantitative records are duly maintained. Gross profit margine at the petrol pumps are normally ranging between Rs. 1.5 to Rs. 3 per litre for petrol and around Rs. 2 to Rs. 3 for diesel. Considering this aspect, we find that the assessee has disclosed the net profit in consonance with the generally accepted market practice and the same should be ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act'), dated 01-11-2023. 2. For that the CIT(A) erred in confirming the assessment order passed by the National Faceless Assessment Centre, Delhi, ('the AO'), assessing the appellant under section 147 read with section 144 and 144B of the Act, vide order dated 25-03-2022 at an income of Rs 2,62,77,730/- against the current years income of Rs 3,07,646/-, by making addition of Rs 2,62,77,730/- after treating the entire deposits in bank account as unexplained money under section 69A of the Act. 3. For that the learned CIT(A) has erred in the facts and circumstances of the case in confirming the action of the AO in treating the entire cash deposited in the demonetization period amounting to Rs 2,62,77,730/- as unexplained money und ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der without allowing proper opportunity of being heard thereby confirming the addition u/s 69A of the Act at Rs. 2,62,77,730/- for alleged unexplained cash deposited in the current bank account of the assessee s sole proprietorship concern. Assessee has also challenged the validity of invoking of Section 115BBE of the Act by ld. AO. 3.1. Brief facts of the case as culled out from the records are that the assessee is an individual and running sole proprietorship concern M/s. Pappu Fuel Station engaged in purchase and sale of petrol, diesel and lubricant and the petrol pump has been allotted by BPCL. The assessee did not file the return of income for AY 2017-18. During FY 2016-17 demonetization scheme was announced. As per the data available ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... grieved, the assessee is now in appeal before this Tribunal. 4. Ld. Counsel for the assessee has file a detailed paperbook consisting of various details of purchase, sale and deposit in the bank account, ledger account in the books of BPCL, bank statement, information about the death of her husband and she being not aware about the income tax proceedings and also stating that the notice of hearing by the ld. AO as well as ld. CIT(A) were not sent on the e-mail address mentioned in the income tax return furnished in compliance to notice u/s 148 of the Act. He further submitted that all the cash deposits in the bank account held with State Bank of India are duly accounted for is regular books and they are part of the total sales shown in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s not devoted any energy on the merits and has summarily dismissed the assessee s appeal by not condoning the delay. At this juncture, we notice that the assessee had furnished following documents in the paperbook dated 09.09.2024: 1. Comparative statement of month wise purchase, sale and deposit in the bank account of the assessee. 2. Copy of the ledger account of the assessee in the books of accounts of Bharat Petroleum Corporation Limited. 3. Copy of the bank statement of current account number 34510854825 with State Bank of India. 4. Copy of the First Incidence Report along with the death certificate in respect of the assessee's spouse. 5. Copy of the relevant page of the ITR for the assessment year 2021-22, evidencing mentioning of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on. During the demonetization period, the assessee was entitled to receive the old notes at her petrol pump for selling petrol, diesel and lubricant etc. A copy of bank statement held with State Bank of India placed at page 52-80 of the paperbook indicates that the cash deposited in the bank account has been utilized for issuing cheque to BPCL for the purchases made by the assessee. The ledger account issued by BPCL placed at page 40-51 asserts the fact that the cheques issued from State Bank of India has been received by BPCL against the sales made to the petrol pump run by the assessee. Monthly details of purchase sales have also been placed before us and there is no major increase in sales during the demonetization period and they have n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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