TaxTMI 
TaxTMI 
2012 (11) TMI 227
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....00/- be deleted. 3. In this case a survey u/s. 133A of the I.T. Act was carried out at the business premises of the assessee on 11.12.1998. During the survey, an excess stock worth Rs. 14 lacs was found as a result of which the assessee surrendered a sum of Rs. 14 lacs as unaccounted income. However, at the time of assessment proceedings, it was claimed before the Assessing Officer that the assessee had declared the excess stock of only 2456 Kg., the value of which is Rs. 85,960/- only. Hence, the surrender of Rs. 14 lacs should be restricted to Rs. 85,960/- only. Assessing Officer did not agree with the contention of the assessee and added back the sum of Rs. 14 lacs to the income of the assessee. 4. Upon assessee's appeal Ld. ....
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....Ld. Commissioner of Income Tax (A) observed that the details shown in Annexure-A produced by the assessee totaling Rs. 13,99,125/- was only a part of the total excess stock of Rs. 38,33,000/- found at various places at the time of survey. Hence, Ld. Commissioner of Income Tax (A) observed that it is wrong to say that the assessee surrendered Rs. 14 lacs only on the basis of stock found in Annexure-A. Ld. Commissioner of Income Tax (A) further found that assesse's contention that the actual excess stock surrendered was only 2456 kg. valuing Rs. 85,960/- was not correct. Ld. Commissioner of Income Tax (A) further observed that on close examination of the said inventory given by the assessee, he noticed that this pertains to the inventory of t....
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.... survey details, the weight of closing stock compares as under:- As per stock a/c As per survey Raw wool (Weight) 37693.350 40149.350 Yarn (Weight) 17629.000 17629.000 Semi Finished Yarn (Weight) 6682.000 6682.000 Determination of the surrender amount of Rs. 14,00,000/- is worked out as under:- Total value of the stock found at the time of survey (As per valuation) 38,33,000 Less: Value of closing stock determined as per the hypothetical trading a/c. 24,35,000 13,98,000 Or Say 14,00,000 The assessee was asked to surrender the above amount of Rs. 14,00,000/- at the time of survey which the assessee has surrendered. Gross profit and value of ....
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....3,85,193 Gross profit as per the details adopted as per the survey 14,90,519 iii) Gross profit as per the Audited Account 14,91,296 In this manner the profit of Rs. 14,00,000/- has been reflected in the audited accounts." 6.1 In the background of the aforesaid details, it was submitted that Rs. 14 lacs surrendered at the time of survey, has duly been reflected and no addition in this regard is called for. 6.2 Ld. Departmental Representative on the other hand supported the order of the lower authorites below. 6.3 We have carefully considered the submissions and perused the records. We find that as per the submission of the assessee in the statement above, the assessee has claimed that ....