Kunj Bihari Lal Saraf, Shivpuri v. I.T.O., Shivpuri

ITA 191/AGR/2010 | 2003-2004
Pronouncement Date: 01-09-2010 | Result: Allowed

Appeal Details

RSA Number 19120314 RSA 2010
Assessee PAN AJVPS1302B
Bench Agra
Appeal Number ITA 191/AGR/2010
Duration Of Justice 3 month(s) 11 day(s)
Appellant Kunj Bihari Lal Saraf, Shivpuri
Respondent I.T.O., Shivpuri
Appeal Type Income Tax Appeal
Pronouncement Date 01-09-2010
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted SMC
Tribunal Order Date 01-09-2010
Date Of Final Hearing 03-08-2010
Next Hearing Date 03-08-2010
Assessment Year 2003-2004
Appeal Filed On 21-05-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL AGRA BENCH SMC AGRA BEFORE SHRI P.K. BANSAL ACCOUNTANT MEMBER ITA NO.191/AGR/2010 ASST. YEARS: 2003-04 SHRI KUNJ BIHARI LAL SARAF VS. THE INCOME-TAX O FFICER PROP. CHATURBHUJ SHEOBAKSH SHIVPURI (M.P.). SHEOPURKALAN (M.P.). (PAN : AJVPS 1302 B) (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI NAVIAN GARGH ADVOCATE RESPONDENT BY : SHRI VINOD KUMAR JR. D.R. ORDER THIS APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST THE ORDER OF THE CIT(A) DATED 26.03.2010. THE ONLY ISSUE INVOLVED IN THIS APPEAL RELATES TO THE TRADING ADDITION OF RS.24 532/-. 2. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSE E WAS MAINTAINING REGULAR BOOKS OF ACCOUNTS. AUDIT UNDER SECTION 44AB HAS BEEN CARRIE D OUT. THE ORIGINAL ASSESSMENT HAS BEEN COMPLETED BY THE A.O. SUBSEQUENTLY THE CIT(A) SET ASIDE THE ASSESSMENT INVOKING SECTION 263 OF THE INCOME-TAX ACT 1961 (THE ACT HEREINAFTER) . THE A.O. NOTED THAT THE ASSESSEE HAS SHOWN THE G.P. IN RESPECT OF GOLD ORNAMENTS @ 19.18% FOR SILVER ORNAMENTS @ 20.21% AND SILVER ORNAMENTS (OUT OF M.P.) @ 24%. THE A.O. WAS OF TH E VIEW THAT THE ASSESSEE HAS NOT VALUED THE CLOSING STOCK AS PER THE MARKET COST AS PUBLISHED. HE ACCORDINGLY CONSIDERED THE TOTAL G.P. @ 21% AGAINST THE OVERALL G.P. @ 19.69% AND MADE THE ADDITION AMOUNTING TO RS.24 532/-. THE ASSESSEE WENT IN APPEAL BEFORE THE CIT(A) BUT THE C IT(A) ALSO CONFIRMED THE ADDITION. 2 3. WE HAVE HEARD THE RIVAL SUBMISSIONS AND CAREFULL Y CONSIDERED THE SAME. WE NOTED THAT THE ASSESSEE WAS MAINTAINING REGULAR BOOKS OF ACCOU NTS. THE ACCOUNT OF THE ASSESSEE WAS DULY AUDITED UNDER SECTION 44AB OF THE ACT. THE A.O. HA S NOT REJECTED THE BOOKS OF ACCOUNTS BUT GAVE THE FINDING THAT THE G.P. SHOWN BY THE ASSESSE E WAS LESS EVEN THOUGH THE ASSESSEE HAS GIVEN THE REASONS FOR THE FALL IN THE G.P. AND APPLIED A G.P. @ 21% INSTEAD OF 19.69% SHOWN BY THE ASSESSEE. IN OUR OPINION NO ADDITION IN THE G.P. CAN BE MADE UNTIL AND UNLESS THE A.O. REJECTS THE BOOKS OF ACCOUNTS MAINTAINED BY THE ASSESSEE IN VOKING PROVISIONS OF SECTION 145(3). IT IS ONLY WHEN THE BOOKS OF ACCOUNTS REGULARLY MAINTAINE D BY THE ASSESSEE ARE REJECTED THE A.O. IS AUTHORISED TO COMPUTE THE INCOME MENTIONED UNDER SE CTION 144. WE ACCORDINGLY DELETE THE ADDITION. 4. IN THE RESULT APPEAL FIELD BY THE ASSESSEE IS A LLOWED. (ORDER PRONOUNCED IN THE OPEN COURT ON 01.09.2010 ). SD/- (P.K. BANSAL) ACCOUNTANT MEMBER PLACE: AGRA DATE: 1 ST SEPTEMBER 2010. PBN/* COPY OF THE ORDER FORWARDED TO: 1. APPELLANT 2. RESPONDENT BY ORDER 3. CIT CONCERNED 4. CIT (APPEALS) CONCERNED 5. DR ITAT AGRA BENCH AGRA 6. GUARD FILE ASSIST ANT REGISTRAR INCOME-TAX APPELLATE TRIBUNAL AGRA TRUE COPY