Shri Om Prakash Dembal, Indore V. The ITO 5 (2), Indore

MA 15/IND/2011

• Counselvise Citation: [2011] 123 COUNSELVISE.COM (IT) 6655 (ITAT-INDORE)
• Duration Of Justice: 2 month(s) 15 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 26-07-2011
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Assessment Year: 2004-2005
• Appeal Filed On: 11-05-2011
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ARUN DEWAN
• Keywords: Loose papers

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL , INDORE BENCH, INDORE BEFORE SHRI JOGINDER SINGH, J.M. AND SHRI R.C.SHARMA, A.M. PAN NO. : ABAPD1473D M.A.NO. 1 5 /IND/2011 (ARISING OUT OF I.T.A.NO. 4 88 / IND/0 8 ) A.Y S . : 200 4 - 05 SHRI OM PRAKASH DEMBLA, PROPR IETOR BOMBAY RADIO ELECTRONIC GALARY, INCOME TAX OFFICER, WARD 5(2), INDORE. 27, DEVI AHILYA MARG, VS JAIL ROAD, INDORE. APP LICANT RESPONDENT APP LICANT BY : SHRI SUDHIR PADLIA, C. A. RESPONDENT BY : SHRI ARUN DEWAN, SR. DR O R D E R PER R. C. SHARMA, A.M. TH IS MISC. APPLICATION IS FILED TO RECTIFY MISTAKE APPARENT FORM THE ORDER OF THE TRIBUNAL DATED 29.10,2010. 2. RIVAL CONTENTIONS HAVE BEEN HEARD AND RECORDS PERUSED. IT WAS ARGUED BY LD. AUTHORIZED REPRESENTATIVE THAT IN RESPECT OF ADDITION OF RS. 10,22,579/ - ON ACCOUNT - : 2 : - 2 OF EXCESS STOCK, A CALCULATION MISTAKE WAS POINTED OUT DURING THE COURSE OF HEARING WITH REGARD TO THE GROSS PROFIT HAS NOT BEEN CONSIDERED, WHICH AMOUNTS TO MISTAKE APPARENT FROM RECORD. WE FOUND THAT WHILE MAKING ADDITION, THE LD. CIT(A) HAS COMPUTED GROSS PROFIT OF 5.6 % AT RS. 9,94,836/ - , WHEREAS AS PER LD. AUTHORIZED REPRESENTATIVE ACTUAL CALCULATION OF GROSS PROFIT WORKS OUT TO BE RS.9,48,436/ - . AS THIS IS A MISTAKE APPARENT FROM RECORD, WE DIRECT THE AO TO R ECOMPUTE THE CORRECT PROFIT BY APPLYING GROSS PROFIT RATE OF 5.6 % FOR COMPUTING EXCESS STOCK FOUND DURING COURSE OF SURVEY. WE DIRECT ACCORDINGLY. 3. NEXT GRIEVANCE OF THE ASSESSEE RELATES TO THE APPARENT MISTAKE IN ADDITION OF RS. 55,000/ - TOWARDS PURCHASE MADE FROM M/S. D. P. MARKETING. 4. THE ASSESSEE WAS BEFORE TRIBUNAL AGAINST CONFIRM ATION OF THE ADDITION ON THE BASIS OF LOOSE PAPERS FOUND DURING THE COURSE OF SURVEY. IT WAS POINTED OUT THAT AS PER STATEMENT OF ACCOUNT OF M/S. D EEP MARKETING, THE ASSESSEE HAS DULY SHOWN PURCHASES AT RS. 55,000/ - , WHICH - : 3 : - 3 WAS ALSO PAID BY THE ACCOUNT PAYEE CHEQUES. IT WAS SUBMITTED THAT SINCE THE PURCHASE HAS ALREADY BEEN RECORDED IN THE REGULAR BOOKS OF ACCOUNT, DISREGARDING THE SAME AMOUNT TO MISTAKE APPARENT FROM RECORD. 5. W E HAVE CAREFULLY CONSIDERED THE RIVAL CONTENTIONS AND FOUND THAT IN THE LEDGER ACCOUNT OF DEEP MARKETING IN ASSESSEE S BOOK, THE ASSESSEE HAS CREDITED A SUM OF RS. 55,000/ - ON ACCOUNT OF PURCHASES MADE FROM IT . PAYMENT FOR SUCH PURCHASE WAS ALSO EFFECTED T HROUGH ACCOUNT PAYEE CHEQUE, WHICH REMAINED ATTENTION OF THE BENCH, WHILE DECIDING THE APPEAL, THEREFORE, THE SAME AMOUNTS TO A MISTAKE APPARENT FROM RECORD. ACCORDINGLY, WE DIRECT THE AO TO VERIFY THE FACTUAL POSITION AFTER SEEING THE PURCHASE ACCOUNT, WH EREIN THE ASSESSEE HAS STATED ENTERED THIS PURCHASE AND TO DECIDE THE ISSUE AFRESH. WE DIRECT ACCORDINGLY. 6. LAST GRIEVANCE OF THE ASSESSEE RELATES TO THE ADDITION OF RS. 1.50 LAKHS BEING ADVANCES TO ROSHANLAL & SONS. - : 4 : - 4 7. HOWEVER, THE LD. AUTHORIZED REPRESENTAT IVE COULD NOT POINT OUT ANY APPARENT MISTAKE IN THE ORDER OF THE TRIBUNAL WITH REGARD TO THE CONFIRMATION OF SUCH ADDITION. ACCORDINGLY, THIS DOES NOT AMOUNT TO MISTAKE APPARENT FROM RECORD. 8. IN THE RESULT, THE MISC. APPLICATION FILED BY THE ASSESSEE IS ALL OWED IN PART. THIS ORDER HAS BEEN PRONOUNCED IN THE OPEN COURT ON 26 TH JULY, 2011. SD/ - SD/ - (JOGINDER SINGH) ( R.C.SHARMA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 26 TH JULY, 2011 . CPU* 222 6