TaxTMI 
TaxTMI 
2014 (10) TMI 871
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.... is engaged in the business of manufacturing of stainless steel cutleries and utensils in the name and style of M/s Jagdamba Exports. The majority of the products of the appellant are being exported out of India. It has got its manufacturing units at 153, 1&1, EPIP, Kundli, Distt. Sonipat. In the assessment order for the assessment year under consideration, the assessing officer has rejected books of accounts of the appellant U/S 145 of the LT. Act on the ground that appellant has not maintained stock registers, production register, opening and closing stock quantity wise and quality wise and the value of consumable stock and packing material has not been taken into inventory. The assessing officer has mentioned that closing stock of finis....
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.... both quality and quantity wise. The AO gave opportunity to the assessee and thereafter gave a remand report. The assessee filed a rejoinder with the remand report. After considering the remand report and the objections of the assessee, the First Appellate Authority granted relief. 2.2. Aggrieved the Revenue is in appeal before us on the following grounds. "1. Whether on the facts and circumstances of the case the Ld. CIT(A) has erred in deleting the action of the assessing officer in rejecting the books of accounts in view of the failure of the assessee in producing requisite details and documents before the then assessing officer to enable him to deduce the proper income of the assessee. 3. Whether on the facts and circumstances of th....
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....of incentive and commission expenses, by accepting the plea of the assessee, in spite of the fact that the assessee did not furnish any proper details, evidence and the supporting documents for the justification of above expenses, neither during the assessment proceedings nor during the remand proceedings. 6. The appellant craves leave to amend or alter all or any of the aforesaid grounds of appeal and amend, alter or add any other ground of appeal." 3. We have heard Shri Sameer Sharma, Ld.Sr.D.R. on behalf of the Revenue and Mr.Ved Jain, the Ld.Counsel for the assessee. 4. On a careful consideration of the facts and circumstances of the case, on perusal of material on record, orders of lower authorities, we hold as follows. 5. In the R....
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....e of scrap fixed by the excise authorities was only, for the purpose of giving incentives to the assessee and has no effect on the actual facts of the case. The assessee had submitted various letters to the excise authorities for revision of the norms of scrap fixed by them. In view of the above observations by the AO in the remand report, we find no infirmity in the order of the First Appellate Authority and hence we dismiss ground no.3 of the Revenue. 8. Ground no.4 is against deletion of an addition made on account of business promotion expenses. Here also, in the remand report, the AO was unable to point out any discrepancy or error in the explanation given by the assessee. The AO had made an adhoc disallowance without specifying any ....