Dabros Industries Company (P) Ltd. v. CIT

108 ITR 424High Court1977#4594 most cited

What is Dabros Industries Company (P) Ltd. v. CIT authority for?

Where an assessee fails to produce proper accounts, the Assessing Officer may reject the books of account and estimate the profit based on available material, including past performance.

25

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2016 to 2025.

Also referred to as

Dabros Industries Company (P) Ltd · CIT · 1977 · section 145 · section 145(3) · best judgment assessment · rejection of accounts · estimation of profit · past performance · available material

Sections most often in play

Section 115BBESection 133(6)Section 133ASection 142(1)Section 142(2A)Section 143(3)Section 144Section 145

Issues it is cited on

section 145section 145(3)best judgment assessmentsection 69csection 133asection 131section 139genuineness of the transactionundisclosed incomeunexplained cash creditsection 142scrutiny assessment

Judgments citing Dabros Industries Company (P) Ltd. v. CIT

DCIT, Circle-25, Kolkata vs. Shri Prasanto Saha, Kolkata

In the result in Ground No

ITA 1592/KOL/2016[2012-13]Status: DisposedITAT Kolkata10 Oct 2018AY 2012-13

Bench: Shri J.S. Reddy, Am & Shri S.S. Viswanethra Ravi, Jm] I.T.A. No. 1591 & 1592/Kol/2016 Assessment Years: 2011-12 & 2012-13 Dcit Circle 25 Kolkata...............................………………………………............................Appellant Aayakar Bhawan Kakshin, 2, Gariahat Road, South, Kolkata – 700 068. [Pan: Bidps 6663 R] Shri Prasanto Saha....................…………………………………………............................Respondent 119/1, City Green, P.G. Shah Rd., Block 3G, Kolkata – 700 032. Appearances By: Shri S. Dasgupta, Addl. Cit, Dr Appearing On Behalf Of The Revenue. Shri B.K. Sahoo, Ar Appearing On Behalf Of The Assessee. Date Of Concluding The Hearing : July 19, 2018 Date Of Pronouncing The Order : October 10Th, 2018 Order

Section 143(3)Section 28Section 44A

…143(3) the AO is not 3 I.T.A. Nos. 1591 & 1592/Kol/2016 Shri Prasanto Saha entitled to make a pure guess without any evidence and material at all. Similarly, Hon’ble Calcutta High Court judgement in the case of Dabros Industrial Co. (P) Ltd. vs CIT, (1977) 108 ITR 424 (Cal) held that once the books of accounts are rejected the assessing officer has to estimate the income reasonably on the basis of the material available on record and he cannot resort to guess work. The Assessing Officer did not bring any comparable case on record. Similarly the appellant also did not place any comparable case to convert the es…

DCIT, Circle-25, Kolkata vs. Shri Prasanto Saha, Kolkata

In the result in Ground No

ITA 1591/KOL/2016[2011-12]Status: DisposedITAT Kolkata10 Oct 2018AY 2011-12

Bench: Shri J.S. Reddy, Am & Shri S.S. Viswanethra Ravi, Jm] I.T.A. No. 1591 & 1592/Kol/2016 Assessment Years: 2011-12 & 2012-13 Dcit Circle 25 Kolkata...............................………………………………............................Appellant Aayakar Bhawan Kakshin, 2, Gariahat Road, South, Kolkata – 700 068. [Pan: Bidps 6663 R] Shri Prasanto Saha....................…………………………………………............................Respondent 119/1, City Green, P.G. Shah Rd., Block 3G, Kolkata – 700 032. Appearances By: Shri S. Dasgupta, Addl. Cit, Dr Appearing On Behalf Of The Revenue. Shri B.K. Sahoo, Ar Appearing On Behalf Of The Assessee. Date Of Concluding The Hearing : July 19, 2018 Date Of Pronouncing The Order : October 10Th, 2018 Order

Section 143(3)Section 28Section 44A

…143(3) the AO is not 3 I.T.A. Nos. 1591 & 1592/Kol/2016 Shri Prasanto Saha entitled to make a pure guess without any evidence and material at all. Similarly, Hon’ble Calcutta High Court judgement in the case of Dabros Industrial Co. (P) Ltd. vs CIT, (1977) 108 ITR 424 (Cal) held that once the books of accounts are rejected the assessing officer has to estimate the income reasonably on the basis of the material available on record and he cannot resort to guess work. The Assessing Officer did not bring any comparable case on record. Similarly the appellant also did not place any comparable case to convert the es…

ACIT, Circle-27, Haldia, Purba Medinipur vs. Shri Safiul Mallick, Purba Medinipur

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

ITA 1665/KOL/2016[2011-12]Status: DisposedITAT Kolkata03 Oct 2018AY 2011-12

Bench: Shria. T. Varkey, J.M &Dr. A.L.Saini, A.M आयकरअपीलसं./Ita No.1665/Kol/2016 ("नधा"रणवष" / Assessment Year: 2011-12) Acit, Circle-27, Haldia Vs. Shri Safiul Mallick

For Appellant: Shri A. Bhattacharjee, Addl. CIT(DR)For Respondent: Shri S. Agarwal, Advocate
Section 143(1)Section 143(3)Section 144Section 40A(3)

…d to reject the books of accounts and estimate the income, but the manner and method in which the estimation was made by ld AO is unscientific, and arbitrary. We note that Hon'ble Calcutta High Court in the case of Dabros Industrial Co. (P) Ltd. v. CIT (1977) 108 ITR 424 (Cal) held that once the books of accounts of an assessee are rejected then the profit has to be estimated on the basis of proper material available. The Assessing Officer is not entitled to make a pure guess or make an assessment without reference to any evidence or any material at all. There must be something more than mere suspicion to support…

The ACIT, Circle - 2(1), Vijayawada vs. M/S Agri Gold Construction Pvt. Ltd., Vijayawada

In the result, the appeal of the revenue is dismissed

ITA 505/VIZ/2014[2011-12]Status: DisposedITAT Visakhapatnam10 Jan 2018AY 2011-12

Bench: Shri V. Durga Rao & Shri D.S. Sunder Singh

For Appellant: Shri Debakumar SonowalFor Respondent: Shri G.V.N. Hari, AR

…ion to the above, once the A.O. has resorted for estimation of income on sales as held by Hon’ble A.P. High Court in the case of Indwell Constructions 232 ITR 776 (AP) and in the case of Dabros Industrial Co. Pvt. Ltd., Hon’ble Kolkata High Court judgement 108 ITR 424 (Cal) no other addition required to be made. Therefore, we uphold the order of the CIT(A) and dismiss the appeal of the revenue on these grounds. 14. In the result, the appeal of the revenue is dismissed. The above order was pronounced in the open court on 10th Jan’18. (वी. दुगा"राव) ( ड.एस. सु"दर "संह) (V. DURGA RAO) (D.S. SUNDER SINGH) "या…

ACIT, Circle - 1, Asansol vs. Burnpur Cement Ltd., Asansol

In the result, the appeal of the revenue is dismissed

ITA 28/KOL/2012[2008-09]Status: DisposedITAT Kolkata19 Oct 2016AY 2008-09

Bench: Shri M. Balaganesh, Am & Shri K. Narasimha Chary, Jm आयकर अपील सं./Ita No.28/Kol/2012 ("नधा"रण वष" / Assessment Year :2010-2011) Acit, Circle-I, Lower Vs. Brunpur Cement Ltd., 141, Chelidanga, Asansol-4 Cement House, Saradapally, Ashok Nagar, Asansol, District-Burdwan- 713304 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aacca 1999 B .. (अपीलाथ" /Appellant) (""यथ" / Respondent) राज"व क" ओर से /Revenue By : Shri Niraj Kumar Cit Dr "नधा"रती क" ओर से /Assessee By : Shri S.M.Surana Advocate सुनवाई क" तार"ख / Date Of Hearing : 26/08/2016 घोषणा क" तार"ख/Date Of Pronouncement 19/10/2016 आदेश / O R D E R Per M.Balaganesh, Am This Appeal Of The Assessee Arises Out Of The Order Of Learned Cit(A), Asansol, In Appeal No.296/Cit(A)/Asl/R-I/Asl/10-11 Dated 31.10.2011 Passed Against The Order Of Assessment Framed U/S.144 Of The Income Tax Act, 1961 (Hereinafter Referred To As The ‘Act’).

For Appellant: Shri S.M.Surana AdvocateFor Respondent: Shri Niraj Kumar CIT DR
Section 144

…47,603/- (30,04,87,637 * 3.61%) and added to the total income of the assessee. In support of this working, the ld AO placed reliance on the following decisions :- (a) Hon’ble Calcutta High Court in the case of Dabross Industrial Co. (P) Ltd vs CIT reported in 108 ITR 424 (Cal) (b) Hon’ble Delhi High Court in the case of Action Electrical vs DCIT reported in 258 ITR 188 (Del) 2.11. The assessee submitted that all the bills and vouchers evidencing the expenditure was submitted before the ld AO and reiterated the during the year, its raw material purchase had increased leading to higher cost of freight and that the…