CIT v. M.K. Brothers

Sameer Maheshwari, Indore vs. ITO-3(3), Indore

In the result, the appeal of the assessee is allowed

Bench: Shri Kul Bharatassessment Year: 2012-13

…TR 222 {P&H}, considering section 27 of the Evidence Act, it was held that statement of co-accused cannot be read in evidence against another co-accused unless and until it is corroborated with independent material. Further reliance is placed on M.K. Brothers 163 ITR 249 (Raj.), where it was held that Statement recorded u/s. 132{4} or 131 of the third parties are binding upon them in their own case only 5 [ITA No.224/Ind/2019] [Sameer Maheshwari ] and same cannot be foisted upon the other parties in the absence of sufficient corroboratory material. Further reliance is placed on following cases: ACT vs Prabhat O…

M/S. Yaelstar Diamonds Pvt. Ltd., Surat vs. The DCIT, Circle-2(1)(1), Surat

In the result, the appeal of the assessee stands allowed

…The learned counsel for the assessee contended that since the assessee has filed bills of purchases and there is payment by account payee cheques , no addition is called for as held by the Hon’ble Gujarat High Court in the case of CIT v. M. K. Brothers [1987] 163 ITR 249 (Guj). Further, disallowance of purchases is mere estimate as the purchases were not fully verifiable. In similar circumstances several authorities have reduced the estimate to 3 to 5% of the purchases. Therefore, this being purely an estimate basis and therefore, this does not amounts to either concealment of income or furnishing inaccurate part…

Deputy Commissioner of Income Tax, Circle-2(1)(2), Surat vs. Shantai Exim Ltd., Ahmedabad

In the result, ITA.No.436/SRT/2018 of the Department is dismissed

Bench: Shri Bhavnesh Saini & Shri O.P. Meena

…by the Hon’ble Supreme Court in the case of Pr. CIT vs., Tejua Rohitkumar Kapadia reported in [2018] 94 taxmann.com 325 (SC). Learned Counsel for the Assessee also relied upon Judgment of Hon’ble Gujarat High Court in the case of CIT vs., M.K. Brothers [1987] 163 ITR 249 (Guj.) He has submitted that Ld. CIT(A) relied upon Judgment in the case of N.K. Proteins Limited (Supra) for upholding the disallowance of entire purchases in which incriminating documents were found against the assessee, on which, addition was made. But in the case of assessee no incriminating documents have been found, therefore, the said deci…

Shantai Exim Ltd., Ahmedabad vs. Deputy Commissioner of Income Tax, Circle-2(1)(2), Surat

In the result, ITA.No.436/SRT/2018 of the Department is dismissed

Bench: Shri Bhavnesh Saini & Shri O.P. Meena

…by the Hon’ble Supreme Court in the case of Pr. CIT vs., Tejua Rohitkumar Kapadia reported in [2018] 94 taxmann.com 325 (SC). Learned Counsel for the Assessee also relied upon Judgment of Hon’ble Gujarat High Court in the case of CIT vs., M.K. Brothers [1987] 163 ITR 249 (Guj.) He has submitted that Ld. CIT(A) relied upon Judgment in the case of N.K. Proteins Limited (Supra) for upholding the disallowance of entire purchases in which incriminating documents were found against the assessee, on which, addition was made. But in the case of assessee no incriminating documents have been found, therefore, the said deci…