Indore Malwa United Mills Ltd. v. State of Madhya Pradesh

60 ITR 41Supreme Court of India1966#4369 most cited

What is Indore Malwa United Mills Ltd. v. State of Madhya Pradesh authority for?

An Assessing Officer cannot selectively accept parts of an assessee's statement that favour the revenue while disregarding parts favourable to the assessee. If an assessee presents all records, the AO must consider all explanations, not just pick and choose.

27

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

Indore Malwa United Mills Ltd. v. State of Madhya Pradesh · 60 ITR 41 SC · picking and choosing evidence · AO powers · assessee's statement · favourable to revenue · ignoring rest of statement · full explanation required · section 133A · section 143(3)

Sections most often in play

Section 133ASection 143(3)Section 250Section 4Section 5Section 9

Issues it is cited on

reason to believereopening of assessmentundisclosed incomereassessment proceedingssection 69section 132search and seizuresection 13section 142(1)section 147section 148previous year

Judgments citing Indore Malwa United Mills Ltd. v. State of Madhya Pradesh

M/S. Matha Enterprises, Angamally vs. ACIT, Ernakulam

In the result, the appeals of the assessee in ITA Nos

ITA 308/COCH/2010[2007-08]Status: DisposedITAT Cochin16 Dec 2019AY 2007-08

Bench: Shri Chandra Poojari, Am &Shri George George K, Jm

For Respondent: Sri. Sudhanshu Shekhar Jha, CIT(DR)

…compute real income in a fair manner, it was essential that receipts as well as expenses recorded on the same seized documents needs to be considered simultaneously. The CIT(A) observed that the judgment of Apex Court in the case of Indore Malwa United Mills (60 ITR 41) relied upon by the assessee supports the ground. According to the CIT(A), it would be totally arbitrary to treat the whole receipts shown on such documents to be income of the assessee for the simple reason that it would lead to unrealistic and hypothetical profit margins not existent in the line of business and cases comparable with the assessee…

M/S. Matha Enterprises, Angamally vs. ACIT, Ernakulam

In the result, the appeals of the assessee in ITA Nos

ITA 304/COCH/2010[2003-04]Status: DisposedITAT Cochin16 Dec 2019AY 2003-04

Bench: Shri Chandra Poojari, Am &Shri George George K, Jm

For Respondent: Sri. Sudhanshu Shekhar Jha, CIT(DR)

…compute real income in a fair manner, it was essential that receipts as well as expenses recorded on the same seized documents needs to be considered simultaneously. The CIT(A) observed that the judgment of Apex Court in the case of Indore Malwa United Mills (60 ITR 41) relied upon by the assessee supports the ground. According to the CIT(A), it would be totally arbitrary to treat the whole receipts shown on such documents to be income of the assessee for the simple reason that it would lead to unrealistic and hypothetical profit margins not existent in the line of business and cases comparable with the assessee…

M/S. Matha Enterprises, Angamally vs. ACIT, Ernakulam

In the result, the appeals of the assessee in ITA Nos

ITA 303/COCH/2010[2002-03]Status: DisposedITAT Cochin16 Dec 2019AY 2002-03

Bench: Shri Chandra Poojari, Am &Shri George George K, Jm

For Respondent: Sri. Sudhanshu Shekhar Jha, CIT(DR)

…compute real income in a fair manner, it was essential that receipts as well as expenses recorded on the same seized documents needs to be considered simultaneously. The CIT(A) observed that the judgment of Apex Court in the case of Indore Malwa United Mills (60 ITR 41) relied upon by the assessee supports the ground. According to the CIT(A), it would be totally arbitrary to treat the whole receipts shown on such documents to be income of the assessee for the simple reason that it would lead to unrealistic and hypothetical profit margins not existent in the line of business and cases comparable with the assessee…

DCIT, Ernakulam vs. Matha Enterprises, Angamally

In the result, the appeals of the assessee in ITA Nos

ITA 269/COCH/2010[2001-02]Status: DisposedITAT Cochin16 Dec 2019AY 2001-02

Bench: Shri Chandra Poojari, Am &Shri George George K, Jm

For Respondent: Sri. Sudhanshu Shekhar Jha, CIT(DR)

…compute real income in a fair manner, it was essential that receipts as well as expenses recorded on the same seized documents needs to be considered simultaneously. The CIT(A) observed that the judgment of Apex Court in the case of Indore Malwa United Mills (60 ITR 41) relied upon by the assessee supports the ground. According to the CIT(A), it would be totally arbitrary to treat the whole receipts shown on such documents to be income of the assessee for the simple reason that it would lead to unrealistic and hypothetical profit margins not existent in the line of business and cases comparable with the assessee…

M/S G. Paul & Sons, Kolkata vs. ITO, Ward 43(1), Kolkata

In the result the appeal of the assessee is allowed

ITA 1715/KOL/2016[2011-12]Status: DisposedITAT Kolkata02 Feb 2018AY 2011-12

Bench: Hon’Ble Sri N.V.Vasudevan, Jm ] I.T.A No. 1715/Kol/2016 Assessment Year : 2011-12

For Appellant: Shri V.N.Dutta, AdvocateFor Respondent: Smt. Ranu Biswas, Addl DIT
Section 69B

…ved no interference. [Para 11]. “ 4 M/s G.Paul & Sons A.Yr.2011-12 7. The ld. Counsel for the assessee has also brought to our notice the decision of the Hon’ble Supreme Court in the case of Indore Malwa United Mills Ltd vs State of Madhya Pradesh and Others 60 ITR 41 (SC). In the aforesaid decision the Hon’ble Supreme Court took the view that if all stock registers are produced before the AO, the AO cannot choose to take only certain items and value of stock as reflected in the stock register and come to an adverse conclusion. The precedents cited by the ld. Counsel for the assessee support the plea of the asse…

The ACIT, Circle- 1, Rajkot-Gujarat vs. Smt. Manishaben N. Mashru, Rajkot-Gujarat

In the result, appeal of the Revenue in ITA No

ITA 355/RJT/2011[2004-05]Status: DisposedITAT Rajkot04 Jan 2018AY 2004-05

Bench: Shri Pramod Kumar & Shri Rajpal Yadavsr.No.

For Appellant: Shri M.J. Ranpura, CAFor Respondent: Shri Hargovind Singh, CIT-DR
Section 131Section 133ASection 142(1)Section 148Section 271(1)(c)

…note book ignoring the debit entries reflected on same pages. It is settled proposition of law that the document is to be considered as a whole. Reliance is placed on the decision in the case of Indore Malva United Mills Ltd. vs. State ofMadhya Pradesh (1966) 60 ITR 41 (SC). (I) Hon'ble Supreme Court has, in the case of National Thermal Power Co. Ltd. vs. CIT (1998) 229 ITR 383, observed that: DCIT, Cir.1, Rajkot Vs. Smt.Manishaben N. Mashru & Anothers (14 appeals) 8 "The purpose of an assessment proceeding before the taxing authority is to assess correctly the tax liability of the assesses in accordance with…

ACIT, Circle-3, Asansol vs. Shri Shyam Cement Works Pvt. Ltd., Asansol

In the result Appeal of the Revenue is dismissed

ITA 211/KOL/2014[2010-2011]Status: DisposedITAT Kolkata28 Sept 2016AY 2010-2011

Bench: Shri P. M. Jagtap, Am & Shri K. Narasimha Chary, Jm] I.T.A No. 211/Kol/2014 Assessment Year: 2010-11 Assistant Commissioner Of Income-Tax, Vs. Shri Shyam Cement Works Pvt. Ltd. Circle-3, Kolkata. (Pan: Aadcs8052J) (Appellant) (Respondent) Date Of Hearing: 22.09.2016 Date Of Pronouncement: 28.09.2016

For Appellant: Shri Nicholas Murmu, Addl. CITFor Respondent: Shri S. S. Gupta, FCA
Section 131Section 133(6)Section 143(1)Section 143(3)Section 234BSection 271(1)(c)

…placed reliance on CIT Vs Raghuraji Agro Industries 349 ITR 260 (All ), CIT Vs Dinesh Kumar (2005) 98 ttj (Jd) 695, CIT vs Sanjay Oil Cake Industries 197 CTR 521, CIT Vs Smt. Shakuntala Devi KhetanFor 352 ITR 484, Indore Malwa United Mills Ltd Vs. State of MP 60 ITR 41 and other decisions rendered by the Hon’ble Supreme Court and High Court to support his argument that there cannot be any addition until and unless it is proved that there had been purchases made outside the books of account or there had been excess consumption of fuel which was not recorded in the books of account. He drew our attention to a decis…