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Income Tax Appellate Tribunal, “C”BENCH KOLKATA
Before: Shri Sanjay Garg & Shri Girish Agrawal
order : September 22, 2022 आदेश / ORDER संजय गग�, �या�यक सद�य �वारा / Per Sanjay Garg, Judicial Member: The present appeal has been preferred by the assessee against the order dated 25.03.2019 of the Commissioner of Income Tax(Appeals)-5, Kolkata [hereinafter referred to as ‘CIT(A)’] passed u/s 250 of the Income Tax Act (hereinafter referred to as the ‘Act’). The assessee in this appeal has taken the following grounds of appeal:
1) That for the facts and under the circumstances of the case the Ld. CIT(A)has erred in confirming the addition of Rs.1,39,22,668/- on estimate basis on account of net profit. 2) That your appellant craves leave to add, amend, modify replace or withdraw the above ground on or before the hearing of the appeal.
No one has put in appearance on behalf of the assessee despite notice sent through registered post as well as email. Therefore, we proceed to decide the appeal on merits after hearing the ld. DR and after going through the records.
Assessment Year: 2012-13 M/s Century Global Logistics Pvt. Ltd. 3. The brief facts of the case are that the assessee company from its business of transportation of goods has shown its income at Rs.1,53,51,664/- which was @2.0974% of the total revenue earnings.
During the assessment proceedings on query regarding bills and vouchers and details of expenses and income, the assessee company did not furnish any evidence in this regard. Hence, because of want of details of expenditure and income etc., the Assessing Officer enhanced net profit of business to a sum of 4% of total revenue declared by the assessee which comes out at Rs.2,92,74,332/-. The Assessing Officer accordingly made the addition of Rs.1,39,22,668/- due to non-submission of evidences in support of the accounts of the assessee as discussed above.
Being aggrieved by the said order of the Assessing Officer, the assessee preferred appeal before the CIT(A). However, the ld. CIT(A) confirmed the addition so made by the Assessing Officer observing as under: “I have considered the submission of the appellant and also the relevant assessment records. The AO in the assessment order had enhanced net profit of the appellant to 4% of total revenue on the grounds that the appellant could not submit details of bills, vouchers etc relating to expenditure. The appellant also could not submit details relating to income. The A/R of the appellant during appeal hearing had submitted that the company has been closed for the last four years and all the staffs have left. Therefore, it was not possible to submit details in support of expenditure like vouchers etc. The accounts of the appellant are audited. Therefore it could not be understood why the appellant could not submit details in support of his audited books. The presence or absence of staff in this regard is immaterial as the appellant was required to keep these details for verification by various authorities. It appears that the appellant had concocted up the story as its audited books are not supported by vouchers and other supporting evidence. Therefore, in light of the above discussion, there are no grounds to interfere with the estimation of profit by the AO in the assessment order. This ground of appeal
fails and is therefore not allowed.”
6. Since neither anyone has appeared on behalf of the assessee nor any details furnished and even no details, evidences etc. have been furnished in support of its accounts by the assessee before the lower authorities, therefore, we do not find any reason to interfere with the above order of the CIT(A) and the same is upheld. The appeal of the assessee is hereby dismissed.
Assessment Year: 2012-13 M/s Century Global Logistics Pvt. Ltd. 7. In the result, the appeal of the assessee stands dismissed.