https://www.taxtmi.com/caselaws?id=284238 Survey statements and admissions were treated as insufficient on their own to sustain additions under the Income-tax Act; the Tribunal preferred estimation of income on the basis of past gross profit pattern for non-genuine sundry creditors, while upholding deletion of the unexplained investment addition for chilling plants due to lack of corroborative evidence. Expenditure on milk cans and crates was accepted as revenue in nature because the articles were reusable business assets without enduring capital advantage. Firewood purchase disallowance was also rejected as the payments fell within the recognised cash-payment exception in Rule 6DD. Overall, the commentary reflects that additions and disallowances must rest on independent support and the true character of the expenditure. en-us Wed, 26 Jul 2017 00:00:00 +0530 Fri, 08 Nov 2019 08:12:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=284238 Survey statements and admissions were treated as insufficient on their own to sustain additions under the Income-tax Act; the Tribunal preferred estimation of income on the basis of past gross profit pattern for non-genuine sundry creditors, while upholding deletion of the unexplained investment addition for chilling plants due to lack of corroborative evidence. Expenditure on milk cans and crates was accepted as revenue in nature because the articles were reusable business assets without enduring capital advantage. Firewood purchase disallowance was also rejected as the payments fell within the recognised cash-payment exception in Rule 6DD. Overall, the commentary reflects that additions and disallowances must rest on independent support and the true character of the expenditure. Case-Laws Income Tax Wed, 26 Jul 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=284238