1977 (9) TMI 60

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.... Dhanbad, relating to the assessment for the asst. yr. 1974-75. 2. The assessee has got a Stainless Steel shop situated in Rajendra Market which is a posh market at Dhanbad. The ITO in view of the good location and profitability estimated the sale of Rs. 1,00,000 and estimated the trading profit by applying gross profit rate of 25 per cent because of the applicability of the proviso to s. 145(1....

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....n the case of the assessee the books recorded on that day the total sales were worth Rs. 2,000 during the Diwali itself. He, therefore, held that the sales were grossly under-stated. He, however, reduced the estimate of sale to Rs. 80,000 and allowed a relief of Rs. 5,000 to the assessee. 4. The assessee has pleaded that the addition as sustained by the AAC to the extent of Rs. 14,480 is not ju....

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....essment 1973-74 that in the asst. yr.s 1972-73 and 1974-75. Simply because the closing stock is nearabout the sale it cannot be said that the assessee has suppressed the sales. No specific item of concealment has been found and so the finding of the ITO and the AAC that the assessee is guilty of concealment of sales is based on surmises and conjectures. We, therefore, hold that the addition on thi....