2017 (11) TMI 1713

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....atia and Mr Puneet Rai, Advocates. For the Respondent :  Mr M.P.Rastogi and Mr K.N.Ahuja, Advocates. O R D E R 1. Admit. Mr M.P.Rastogi, Advocate accepts notice. 2. The two questions of law, which the Revenue argues in the present appeal for the Assessment Years 2005-2006 & 2006-2007, are as follows:- 1. Whether assessee was right in reallocating expenditure/income on account o....

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....rial in roll and pouch form. It had acquired technical know-how for manufacture of "improved sachet pouch with improved additional gusset on both sides of the sachet pouch with a scoring line in the form of laser cut". The Assessee had paid royalty to the tune of Rs. 4.25 crores and had received a sub-licence income of Rs. 1.96 crores. 5. The Assessee has three manufacturing Units, i.e. Malanpu....

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....and remand report submitted by the A.O. It is observed that the appellant could not file the confirmations from the trade customers from whom the advance against sale is received in this year and in the absence of confirmations, the A.O. treated the amount of Rs. 2,32,13,640/- as income of the appellant under Section 68 of the Act. It is observed from the details filed before the A.O. that the led....

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.... the totality of facts and circumstances, it is held that the parties from whom the appellant had received the advances are the regular customers of the appellant in the preceding as well as subsequent years. The trade advances received by the appellant have been adjusted against the sales made to them in the subsequent years. Few of the customers from whom substantial amount of advance is receive....