TaxTMI 
TaxTMI 
2014 (2) TMI 787
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.... be excluded from the assessment made by learned A.O. and confirmed by learned CIT(A). 2. On identical facts, the return of income filed by appellant upto 2008-09 have been accepted as income shown by appellant and there is no any adverse comments by learned A.O. as well as CIT(A). WITHOUT PREJUDICE: 3. On the facts and circumstances of the case the appellant is holding 10 to 12 Bighas of ancestral agricultural land in village Ode and doing agricultural activities personally of Bananas and also supporting his fellow brother farmers, f relatives and receiving service charges 1% which is connected with the agricultural activities of the appellant and also other factors the additions made in the hands of the appellant and confirmed by....
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....posit of Rs. 40,34,500/- in that account during the year under appeal. The assessee did not disclose this bank account and the transactions through this account in its income tax return. The assessee was asked to prove the source of the entire cash deposits in this bank account. In response to this, assessee vide his submission dated 27-06-2011 stated that during the year under appeal he has purchased banana and sold the same to Panjab and Hariyana through transporters. The assessee also submitted a statement of purchase and sales of banana and other expenses as under:- Purchases Rs. 38,58,501/- Sales Rs. 40,33,500/- Transportation Expenses Rs. 27,500/- Bank Charges Rs. 6905/- Commission @ 1% R....
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....llowing persons. i). Sri Manibhai Parshottambhai Patel ii) Sri Ashokbhai Ambalal Patel iii). Sri Raojibhai Shankarbhia Patel iv). Sri Sanabhai Parshottambhai Patel v). Sri Rameshbhai Ambalal Patel In response to these summons Sri Raojibhai Shankarbhia Patel, Sri Sanabhai Parshottambhai Patel and Sri Rameshbhai Ambalal Patel attended the office and their statements were recorded. All these three farmers stated in their statements that during the year under appeal they have supplied banana to the assessee and he was not issuing any bill/vouchers. The assessee did not furnish the details of traders and transporters nor any confirmation of the trader or any bill/vouchers for any further verification. Since the assessee failed ....
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....s amounting to Rs.2,70,498/- over and above I have earned commission income @1% on sale proceeds of Bana Crops of our nearest land owners relatives and our HUF has earned agricultural income of Rs.2,70,498/- and commission income of Rs.40,000/-our HUF has not taxable income and therefore no return of income was not filed by our HUF. In support of proof of my agricultural income copy of 7/12 forms are enclosed herewith. Regarding sales proceeds of other relatives, I am enclosing herewith account of amount deposited in the bank account in Punjab National Bank, Anand wherein the amount is transferred form OM Banana Agency & Others, Amritsar ad other traders out of total amount deposited in Bank I have paid an amount of Rs.39,58,501/- to the....
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.... nothing but an afterthought that assessee has tried to mislead that the entire banana business belong to his HUF. Further it was also noticed that the entire transaction through PNB was made in the assessee's name only. Therefore AO was of the view that assessee was doing the banana business in the individual capacity only and therefore income earned out of banana business was taxable in the assessee's own individual case. Since the assessee did not furnish the details of traders, transporters, bills and vouchers and details of cash deposits made in the aforesaid bank account, the mere commission offered for taxation @ 1% out of banana business was not justifiable and therefore AO estimated a profit @ 10% as reasonable profit on this busin....