2022 (4) TMI 1220

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....ounting to Rs. 16,70,000/- of the Income Tax Act, 1961 (the Act) concerning AY 2008-09. 2. Briefly stated, the assessee is engaged in the business of transportation as proprietor of M/s. Balwan Road Carriers & M/s. Global Travelling Corporation. A survey under Section 133A was conducted on 19.11.2007 in the business premises of the assessee. Certain documents and registers were impounded from the business premises towards lorry receipts, expenses and other entries. In the course of the assessment under Section 143(3) dated 31.12.2010, the assessee could not produce any books of accounts and claimed that assessee does not maintain any regular books of account. The assessment was completed on the basis of registers impounded. These registe....

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....ty order passed under Sections 271D and 271E of the Act dated 30.06.2011 and pointed out that while the fact of the receipt of hand loans and repayment thereof is not denied, it was pointed out in the same vein in question no.9 of the statement that such loans were taken from family members for business need and used for payment to drivers and other business associates to enable him to ply the trucks. It was further pointed out that no books of accounts were maintained and the assessee being uneducated does not understand such laws. Ld. counsel pointed out that repayment has been made in few days time against the receipt from transportation and the amount involved are very small. It was further pointed out that no inquiry has been made with....

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....y of temporary loan from family members to meet the business exigency having regard to the nature of business he is involved in. The fact of business exigency has not been denied by the Revenue. The CIT(A) has disregarded the defense of the assessee mainly on account of the fact that the assessee has failed to come out with complete facts and documents regarding the transactions. We find that the turnover receipts declared by the assessee at Rs. 39,61,195/- was enhanced to Rs. 1,33,67,162/- for the purposes of estimation of income based on such impounded records. Therefore, imposition of penalty separately towards such receipts by way loan is not justified. The impromptu response of the purportedly uneducated assessee at the time of survey,....