2022 (8) TMI 516

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....nue against order of the Ld.CIT(A) for the A.Y.2015-16. 2. Since the issues raised in these appeals are identical, therefore, for the sake of convenience, these appeals are clubbed, heard and disposed off by this consolidated order. We are taking Appeal in ITA.No. 1530/MUM/2021 and ITA.No. 2245/Mum/2021 for A.Y. 2015-16 as a lead case. 3. Brief facts of the case are, assessee is one of the many concerns of "Shakti Group" of Gadhiya family that runs real estate business. The project namely Rudra Residency is being run by the assessee. Assessee has filed original return of income for the A.Y. 2015-16 on 20.08.2015 declaring total income of Rs..NIL. 4. Subsequently, search and seizure operation u/s.132(1) of Income-tax Act, 1961 (in s....

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....ct of Shree Rudra project also @ 45.76% by estimating the profit which worked out to Rs..5,31,36,328/-. Since assessee has already declared the profit at Rs..1,41,84,870/- the Assessing Officer proceeded to make the addition to the extent of Rs..3,89,51,458/-. 6. Aggrieved assessee preferred an appeal before the Ld.CIT(A) and Ld.CIT(A) followed his finding in the case of Shri Parth Vinod Gadhiya who is the proprietor and who runs the project of Shree Rudra. In the case of Shri Parth Vinod Gadhiya which was the basis on which Assessing Officer has determined the profit in the case of the assessee, therefore, Ld.CIT(A) adjudicated the issue in the case of Shakti Lake City and determined the profit ratio for the A.Y. 2014-15, 2015-16 and 20....

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..... 2. The appellant craves to add, amend, alter, substitute, modify any or all the above grounds of appeal, if necessary, on the basis of submissions to be made at the time of personal hearing." 10. Revenue has raised following grounds in its appeal: - "1. On the facts and circumstances of the case, the Ld CIT(A) has erred in deleting the addition of Rs.3,89,51,458/- made by the Assessing officer by rejecting books of accounts on the basis of large number of unaccounted transactions in the form of on money and expenditure were found recorded in impounded documents and by applying estimated profit on the basis of the profitability of sister concerns project "Shakti Lake City" Prop. Shri Parth V Gadhiya (arrived at by the Assessing Officer ....

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....hiya which is similar to the facts of the present case. The Hon'ble ITAT has dismissed the grounds raised by the assessee as well as revenue and sustained the findings of the Ld.CIT(A) who has estimated the profit @18.8% in the case of Shakti Lake City. Ld. AR submitted that the issue is decided by the Hon'ble ITAT against the assessee as well as revenue. 12. On the other hand, Ld. DR relied on the findings of the Assessing Officer. 13. Considered the rival submissions and material placed on record, we observe that the assessee is a concern of Shakti Group and above said group is carrying on three projects namely Shakti Villa, Shree Rudra and Shakti Lake City. During search revenue had found incriminating material relating to ....