KITAB SHREE COLD STORAGE P LTD,ETAWAH vs. ITO , ETAWAH

This assessee’s appeal for assessment year 2014-15, arises against the Commissioner of Income Tax (Appeals)-2 [in short the “CIT(A)], Agra’s order in appeal No. 400/CIT(A)-2/Agra/ITO- 2(2)(5)/Etawah/2016-17 dated 19.01.2018, involving proceedings under section 143(3) of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’).

Heard both the parties at length. Case file perused.

The sole substantive ground of the assessee’s instant appeal raises the issue that both the learned lower authorities have wrongly estimated 15% of the Nikasi of the total potatoes storaged at its plant as its trading income.

It emerges during the course of hearing that neither the assessee has been able to reconcile all the relevant details before the lower authorities nor the department could pin-point any specific defect in other audited book results. Be that as it may, it is deemed appropriate in the larger interest of justice that lump sum addition of Rs.5,00,000/- than that in question amounting to Rs.36,66,600/-, would be just and proper with a rider that the same shall not be a precedent. The assessee shall get relief of Rs.31,66,600/- in other words. Necessary computation shall follow.

Learned counsel next states very fairly that the assessee does not wish to press the issue of adhoc expenditure disallowance keeping in view the smallness of the amount. Rejected accordingly.