2009 (8) TMI 1206

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....ly going through the decisions supra cited by the Ld. AR for the assessee, it is clear that when the closing stock declared in the return filed by the assessee was based on the books of account and the closing stock declared to the bank was at inflated figure simply with the purpose of securing a loan, no addition could be made merely because there is a difference in the closing stock declared in ....

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....bank, the assessee with a view to obtain a higher credit facility from the bank has inflated its stock. The bank has also not verified the stock physically at any point of time, in order to support the genuineness of the inventory in respect of quantity and value as per books of assessee. The assessee also furnished before the AO the complete stock register of the year, quantity-wise, value-wise s....

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....losed sources. In these facts, in case the AO has not been able to point out any discrepancy in the books of accounts including the stock register maintained by the assessee company and has also not been able to bring on record any material to corroborate that the inflated stock shown by the assessee to the bank with the purposes of obtaining higher credit facility was the correct value of the sto....