https://www.taxtmi.com/caselaws?id=762133 ITAT Varanasi held that excess stock surrendered by partnership firm during search operations constitutes business income, not separate income source, since firm had no other income streams and stock accumulation occurred from undisclosed business activities. Court affirmed CIT(A)'s decision based on established precedents. However, regarding adhoc expense disallowances, ITAT found AO's 20% disallowance excessive based on limited test-check examination and self-made vouchers, reducing disallowance to 10% of shop, office and packing expenses. Appeal decided partly in assessee's favor. en-us Thu, 21 Nov 2024 00:00:00 +0530 Tue, 26 Nov 2024 08:51:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=762133 ITAT Varanasi held that excess stock surrendered by partnership firm during search operations constitutes business income, not separate income source, since firm had no other income streams and stock accumulation occurred from undisclosed business activities. Court affirmed CIT(A)'s decision based on established precedents. However, regarding adhoc expense disallowances, ITAT found AO's 20% disallowance excessive based on limited test-check examination and self-made vouchers, reducing disallowance to 10% of shop, office and packing expenses. Appeal decided partly in assessee's favor. Case-Laws Income Tax Thu, 21 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=762133