TaxTMI 
TaxTMI 
2017 (4) TMI 604
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....hri Pavankumar Sharma expired on 29.5.2013 Notice of hearing was served upon the assessee and in response to that notice, the assessee has filed CO on 13.7.2011. M/s.B.R. Popat & Co. put an appearance on behalf of the assessee. But, over a period of time, Shri Bharat R. Bopat, partner of M/s.B.R.Popat & Co., stopped appearing before the Tribunal. The assessee has not filed application for impleading legal heirs. Effort to serve notice upon the assessee could not be succeeded because at the given address none was residing. A report to this effect has been submitted by the Income Tax Officer, Ward-1(1), Bhavnagar with the status report of the Inspector. 3. With the assistance of the ld.DR, we have gone through the record carefully. We do n....
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....ale proceeds of the business of the assessee, and only element of profit involved in these gross receipts could be assessed in the hands of the assessee. Accordingly, the ld.CIT(A) worked out total turnover of the assessee at Rs. 43,77,595/- and estimated net profit in this turnover at the rate of 8%. He confirmed the addition to the extent of Rs. 3,50,208/- and deleted rest of the additions made by the AO. 6. The Revenue in its appeal has pleaded that the ld.CIT(A) has erred in restricting the addition to Rs. 3,50,210/- as against the addition of Rs. 50,48,055/- made by the AO. The assessee in his CO is impugning the estimation of net profit at Rs. 3,50,208/-. 7. With the assistance of the ld.DR, we have gone through the record caref....
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....screpancies are noticed. As pointed out by the AO the cash turned negative at Rs. 42,4397- on 3/4/2007. The AR of the appellant was not able to explain how the cash balance in the cash book could be negative. The claim of the AR of the appellant that due to wrong dating of certain transactions committed by the accountant of the appellant certain bonafide mistakes have occurred is without any evidence and is not acceptable. The AR of the appellant has not been able to show what the bonafide mistakes were and why the mistake occurred. Similarly, during the examination of the cash book, it was noticed that there are several cash receipts of Rs. 16,000/-to Rs. 18,0007- almost on day-to-day basis which are credited in the account of M/s. Sumiti ....
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.... total turnover. From the Trading Account filed along with the audit report, it is seen that the turnover of the appellant is of Rs. 43,77,5957-. Net profit at the rate of 8% of this amount works out to Rs. 3,50,208/-. The AO is directed to assess the income of the appellant at Rs. 3,50,2107-." 9. If this finding is weighed in the light of the finding recorded by the ld.AO, then scale would tilt in favour of this finding. The AO has not made detailed analysis of the account as well as other details submitted by the assessee. According to the ld.CIT(A) aggregate cash deposits in the said bank account is only of Rs. 21,23,800/-. The AO, on the other hand, observed that the cash deposits was of Rs. 50,48,055/-. The ld.CIT(A) thereafter m....