1980 (10) TMI 91

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ly hours of the morning on 26th Jan., 1975 in the factory premises belonging to the assessee. In the fire, machinery, stocks and books of accounts were re-destroyed. The assessee started new books of accounts from 26th Sept., 1975 onwards. This caused the splitting up of the assessee's accounting period into two period, one from 1st April, 1975 to 25th Sept., 1975 for which there were no books of .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... disclosed figure of profit. The decision of the AAC on this point is not challenged by the Revenue and has become final. In regard to the second period, the ITO disallowed the loss to the extent of Rs. 51,429 by rejecting the value of opening stock as taken by the assessee at Rs. 2,87,000. The ITO took note of the fact that the Insurance Company had accepted the assessee's claim for loss of stock .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ving been calculated on the basis of closing stock value of Rs. 2,87,000, the Revenue cannot take a different figure of opening stock for the second period. The proposition put forward by Shri Kappor is sound and as long as the assessee's version about the profit for the first period being Rs. 50,465 holds the field, the Revenue cannot blow hot and cold. There is also another angle which will supp .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X