2016 (6) TMI 167

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....nt year 2008-09. Assessee has raised following effective ground:- "1) That the Ld. C.I.T.(A) has erred, both in law and on the facts and circumstances of the case, in sustaining Enroute Expenses incurred to the extent of Rs. 2,50,000/- against adhoc-disallowance of Rs. 4,78,730/- against assessee's claim of Rs. 95,74,607/- 2) That the Ld. C.I.T.(A) has further erred, likewise, in sustaining the addition of Rs. 10,50,000/- made to disclosed receipts of Rs. 1,95,000/- of sale of scraped/old and discarded losses." 2. First ground raised by assessee is as regard to that Ld. CIT(A) erred in sustaining the expenses of Rs. 2.50 lakh on account of en route expenses. 3. Facts in brief are that assessee is a Limited Company an....

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....o.1 is partly allowed." Being aggrieved by this order of Ld. CIT(A) assessee preferred second appeal before us. Shri V.N.Purohit, Ld. Authorized Representative appearing on behalf of assessee and Shri Sallong Yaden, Ld. Departmental Representative appearing on behalf of Revenue. 5. Ld. AR before us submitted that Authorities Below have disallowed the aforesaid expenses only on estimate basis and without mentioning the relevant vouchers of the expenses as produced before the Authorities Below. Ld. AR also submitted that such en route expenses were also claimed in earlier years and no such disallowances were made for the same. Further, Ld. AR submitted that these are the expenses which have been incurred by the employees of assessee-....

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....erse the orders of Authorities Below on the basis that assessee has been claiming these expenses consistently for the last many years and such expenses have not been disallowed. Hence, we allow assessee's ground of this appeal. 7. Next ground is as regards to that Ld. CIT(A) erred in sustaining the addition of Rs. 10.50 lakh on account of sale of scraped / old and discarded trucks. During the years assessee has sold 30 trucks @ Rs. 15,000/- each to 27 persons at Guwahati but assessee failed to provide the addresses of the parties to whom trucks were sold. Therefore, AO doubted the genuineness for the sale price of the trucks i.e. Rs. 15,000/- each. The AO also observed that assessee was maintaining certain trucks having WDV at nil or Rs.....

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....e buyers should be duly recorded with the Transport Authority but the assessee failed to submit the necessary details in support of the transactions for selling trucks to the concerned parties and he vehemently relied on the orders of Authorities Below. 10. We have heard rival contentions and perused the materials available on record. From the aforesaid discussion, we find that assessee has sold 30 trucks @ 15,000/- each but AO disregarded the sale price of the trucks and estimated the sale price @ Rs. 50,000/- each on account of two reasons - (1) the addresses and the confirmations from the buyers were not provided at the time of assessment proceedings. (2) There were certain trucks which are reflecting in the books of account of assess....