TaxTMI 
TaxTMI 
2012 (11) TMI 90
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....being disposed off with this common order for the sake of convenience. ITA No.920/Hyd/2009 : Assessment year 2005-06 2. Effective grievance of the Revenue in this appeal against the relief granted by the CIT(A) by directing the assessing officer to estimate the net profit of the assessee by applying a rate of 8% on gross receipts without any further allowance. 3. Facts of the case in brief are that the assessee, engaged in the business of execution of contracts, filed return of income for the assessment year 2005-06, declaring a total income of Rs. 17,37,400. In the course of assessment, assessing officer called for various details from the assessee. However, the assessee was not able to submit all the relevant details called for b....
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....'s own case is also filed before us. Paragraphs 4.0 to 4.3 of the said impugned order are relevant. From the above it is evident that the CIT(A) merely complied with the order of the Tribunal in assessee's own case for the assessment year 2004-05. No case is made out by the appellant to suggest that the facts of that year are not comparable to the year under consideration. In such circumstances, we find that the order of the Tribunal is required to be followed. Regarding the M.A. proceedings under S. 254(2) of the Act referred to in para 4.1 of the impugned order, nothing is brought to our notice that there was any change ordered by the Tribunal as of now. Therefore, the said order of the Tribunal is required to be followed. We find that th....
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....nbsp; Add: 1. Dis. all. U/s. 40(a)(ia) 48,74,820 2. Disallowance on cash Payments 14,14,619 3. Depreciation (car) 57,750 63,47,189 Total assessed Income 80,22,872 ....." 10. On appeal, the CIT(A), though confirmed the disallowance made in terms of S. 40(a)(ia) of the Act, found some merit in the contention of the assessee that the additions made by the assessing officer barring the disallowance u/s. 40(a)(ia) leads to an astronomical percentage of profit. Hence considering the totality of the facts, he restricted the disal....
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....A) has not considered any additional evidence in violation of Rule 46A of the Act, and the reliefs granted by the CIT(A) are quite reasonable. 14. We heard both the parties and perused the material on record, including the orders of the lower authorities. From the above, it is evident that there are three additions made by the assessing officer. They are (i) disallowance under S. 40(a)(ia) of the Act; (ii) disallowance out of cash payments on grounds of reasonableness; and (iii) disallowance of depreciation on car. While the CIT(A) sustained the disallowance made under S. 40(a)(ia) of the Act, considering the sustenance of the said disallowance, gave partial relief out of the disallowance made out of cash payments made by the assessing o....
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....lowance out of cash payments is sustained; and the evidence available before him with regard to the purchase and user of the motor car by the assessee during the previous year relevant to the assessment year under consideration. In this view of the matter, and considering totality of facts and circumstances of the case, we set aside the impugned order of the CIT(A), and restore the matter to the file of the CIT(A) for fresh adjudication on all the three issues. He shall re-decide the disallowance in terms of S. 40(a)(ia) of the Act in the light of the ratio of the decision of the Visakhapatnam (Special Bench) of the Tribunal in the case of Merilyn Shipping & Transports (supra) and in consonance with the decision on that aspect, redecide the....