Shreeji Corporation, Ahmedabad vs Department Of Income Tax

This appeal has been filed by the Revenue against the order of Commissioner of Income Tax (Appeals)-XV, Ahmedabad, dated 9th March, 2011 for A.Y. 2007-08 on the following ground:

"1) The ld. Commissioner of Income-tax (A)-XV, Ahmadabad has erred in law and on facts in deleting the addition of Rs.74,42,701/- made by the Assessing Officer on account of less Transport receipts shown by the assessee."

2. Assessee is engaged in business of transportation. Assessing Officer made addition of Rs.74,42,701/- as transport receipt less. Assessing officer observed that as per TDS certificate receipts were of Rs.1,86,61,420/- whereas as per profit and loss account only Rs.1,12,18,719/-.

2.1 Matter was carried before the First Appellate Authority, wherein various contentions were raised on behalf of assessee and in response to the same CIT(A) called for remand report. The stand of assessee before CIT(A) has been that assessee has shown receipts from four accounts in profit and loss account namely from C&F account, Truck income (Contract), Truck income (Non-contract) Account and Cartage, Octroi and Labour account and receipts in the cartage, octroi and labour account were shown only in net figure. It was stated that this was the I.T.A. No. 1364/Ahd/11 A.Y. 07-08 [I.T.O . vs. Shree ji Corporation) Page 3

way profit and account had been submitted to the department with return for last several years. After considering the submission on behalf of assessee, CIT(A) observed that while forming an opinion that receipts of only Rs.1,12,18,719/- had been shown Assessing Officer over looked the fact that the receipts from Cartage, Octroi and Labour Account shown at Rs.3,43,160/- were actually only net receipt in this account which was proved by Annexure-C enclosed with submission of assessee dated 24.05.2010 which was forwarded to Assessing Officer for report. If receipts from all accounts are taken then assessee has shown following receipts totaling to Rs.2,83,32,296/- which was explained in letter dated 24.05.2010 sent to Assessing Officer and also in letter dated 17.01.2011 submitted to CIT(A). In this regard, position was clarified as under:

S.No. Head of the Receipt Amount in Rs. 1 C&F Account 7,23,256.00 2 Truck Income (Contract) Account 50,26,211.01 3 Truck income (Non-Contract) 61,92,507.50 Account 4 Cartage, Octroi & Labour Account 1,63,90,321.71 TOTAL GROSS RECEIPTS 2,83,32,296.22

In this background, stand of assessee has been that TDS has been claimed by assessee of receipts of Rs.1,86,61,420/-.

Thus, from this CIT(A) rightly observed that assessee was not suppressing any receipts. Accordingly, he rightly deleted the addition made by Assessing Officer of Rs.74,42,701/-. This I.T.A. No. 1364/Ahd/11 A.Y. 07-08 [I.T.O . vs. Shree ji Corporation) Page 4

factual finding of CIT(A) needs no interference from our side, we uphold the same.

3. In the result, appeal filed by Revenue is dismissed.

Pronounced in the open Court on this the 29th day of January, 2015.

Sd/- Sd/- (N. S. SAINI) (SHAILENDRA KUMAR YADAV) ACCOUNTANT MEMBER JUDICIAL MEMBER True Copy S.K.SINHA

आदे श कȧ ूितिलǒप अमेǒषत / Copy of Order Forwarded to:-

1. राजःव / Revenue

2. आवेदक / Assessee

3. संबंिधत आयकर आयुƠ / Concerned CIT

4. आयकर आयुƠ- अपील / CIT (A)

5. ǒवभागीय ूितिनिध, आयकर अपीलीय अिधकरण, अहमदाबाद / DR, ITAT, Ahmedabad

6. गाड[ फाइल / Guard file.

By order/आदे श से,

उप/सहायक पंजीकार आयकर अपीलीय अिधकरण, अहमदाबाद ।