2011 (4) TMI 189

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....re of stainless steel utensils and trading and export of stainless steel utensils, rice and other items.   2. This case pertains to the assessment year 2006-07, for which year, the appellant has filed return of income declaring total income of Rs. 99,00,454. The Assessing Officer in the assessment proceedings noticed that the assessee had paid commission of Rs. 31,25,312 to one M/s. Laxcon....

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....lusion that no services were rendered by the said company for which it was paid the commission by the assessee. Another factor which has also weighed with the authorities is that there was no necessity to pay such a commission to the said party for standing guarantee when the party owed him more than Rs. 1.4 crores in loan.   5. These findings of facts are on the basis of proper appreciati....

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....f the assessee to divert the income or to evade taxes. It is also argued that the Revenue has not suffered any loss, inasmuch as, the taxes are paid by M/s. Laxcon Steels (P) Ltd. which received the aforesaid commission. It is also stated by learned counsel for the appellant that the acknowledgment of income-tax return in the case of M/s. Laxcon Steels (P) Ltd. was filed before the Assessing Offic....