https://www.taxtmi.com/highlights?id=90164 HC dismissed revision petition under Section 264 challenging addition to total income for stock shortage discovered during Central Excise survey. Assessee contended only gross profit should be added, not entire shortage amount. Court upheld Revisional Authority's finding that assessee failed to provide satisfactory explanation for discrepancy during assessment or penalty proceedings. Assessee had accepted stock shortage as sales outside books and paid excise duty accordingly. Since raw material costs were already accounted in regular books, entire off-books sales constituted taxable income requiring full addition. Court noted penalty proceedings under Section 271(1)(c) remain separate from assessment proceedings, rendering revision petition ineffective for appellate relief against penalty. en-us Sat, 05 Jul 2025 08:47:37 +0530 Sat, 05 Jul 2025 08:47:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=90164 HC dismissed revision petition under Section 264 challenging addition to total income for stock shortage discovered during Central Excise survey. Assessee contended only gross profit should be added, not entire shortage amount. Court upheld Revisional Authority's finding that assessee failed to provide satisfactory explanation for discrepancy during assessment or penalty proceedings. Assessee had accepted stock shortage as sales outside books and paid excise duty accordingly. Since raw material costs were already accounted in regular books, entire off-books sales constituted taxable income requiring full addition. Court noted penalty proceedings under Section 271(1)(c) remain separate from assessment proceedings, rendering revision petition ineffective for appellate relief against penalty. Highlights Income Tax Sat, 05 Jul 2025 08:47:37 +0530 https://www.taxtmi.com/highlights?id=90164