2021 (5) TMI 206

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....:- (i) The Ld. CIT(A) has erred in confirming the order of the Ld. A.O., who had treated the ten partnership firms wherein the assessee held 95% share in the capital as his Benami firms and thereby assessed the income of all those firms on substantive basis in the hands of the assessee. (ii) The Ld. CIT(A) has erred in confirming the order of the Ld. A.O., who had estimated 5% of the aggregate turnover of the assessee's benami firms which worked out to Rs. 2,52,98,399/- and assessed the same in the hands of the assessee. (iii) The Ld. CIT(A) has erred in confirming the order of the Ld. A.O. who had disallowed the amount of Rs. 17,41,978/- and Rs. 84,66,183/- being the interest paid on loan by the assessee with....

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....t the entire license fees were paid by the assessee and they had not invested any capital in the firm as investment. These facts could not be successfully controverted by the assessee. Moreover, all the benami partnership firms of the assessee had not maintained proper books of accounts. Therefore, the Ld. A.O. estimated the income of all the benami firms @ 5% of their aggregate turnover which worked out to Rs. 2,52,98,399/- and added to the income of the assessee. Even before the Ld. CIT(A), the assessee could not establish that the firms in which the assessee was a partner is not his benami firms and also failed to furnish proper books of accounts. Hence, the Ld. CIT(A) confirmed the order of the Ld. A.O. on the issue. 6. Before us, th....

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....of accounts properly and produced cogent evidence for the expense incurred before the Ld. Revenue Authorities. Under these circumstances, the Learned Revenue Authorities has estimated 5% of the aggregate turnover of all the relevant firms as the income of the assessee which We are of the view is quite reasonable and fair. Therefore, we do not find it necessary to interfere with the order of the Learned Revenue Authorities on this issue. Accordingly, Grounds No. 1 and 2 raised by the assessee is decided against the assessee. However, We also make it clear that since the income of all these firms are assessed in the hands of the assessee the same income cannot be once again assessed separately in the hands of those firms. It is ordered accord....