2017 (3) TMI 1958

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e not been rejected under Section 145 of the Act in the present case and in absence of such rejection, the book results cannot be substituted? 2. Whether in the facts and circumstances of the case, the learned Tribunal was justified in rejecting the books of appellant u/s 145 of the Act and restoring the addition of Rs. 6,00,000/- on account of alleged excess drayage in the process of manufacturing of mustard oil by crushing of mustered oil seeks and whether this finding is perverse? 3. Counsel for the appellant Mr. Kasliwal contended that the CIT(A) while considering the case of the appellant-assessee has observed as under:- "I have gone through the assessment order and written submissions and as well as discussion held with Mr. Datta....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....re pointed out and unless and until the book results are rejected u/s 145(2) of the I.T. Act resort to disallowing the driage loss cannot be made. Neither maintenance of stock register has been denied for any specific defect in maintenance of books of accounts, has been brought on record. A reading of last order shows that nowhere the Assessing officer have found any defect in books of a/c of the appellant, therefore, addition on a/c driage of Rs. 10,21,020/- cannot be sustained without first rejecting the books of a/c which the AO has not done. In view of this, the addition of Rs.10,21,020/- is hereby deleted. The next ground of appeal relates to additions on account of insurance of Rs.6,69,784/- and treating as an income of the assessee....