Income Tax Appellate Tribunal - Jodhpur
Income Tax Officer vs Dr. Kailash Sharma And Sons on 10 June, 2004
Equivalent citations: (2004)84TTJ(JODH)955
ORDER
Hari Om Maratha, J.M.
1. This appeal has been filed by the Revenue against the order of CIT(A) dt.11th March, 1998 pertaining to Asst. yr. 1995-96.
2. At the time of heating, Shri N.R. Mertia was present on behalf of the assessee and Shri Rajendra Sisodia was present on behalf of the Department.
3. We have heard the rival Representatives and have perused the evidence on record.
4. The only issue involved in this appeal pertains to application of provisions of Section 145 in the case of this assessee who 'derives income from various testing and x-ray. The assessee maintained books in accordance with Section 44AA and produced the same before the AO which is evidenced from the order sheet entry dt. 14th Oct., 1997. Relying on the assessee's books of. account, the assessee had prepared P&L a/c, balance sheet and other statements of account and filed returns accordingly. The AO did not reject, rather relied on the P&L a/c in so much as the other receipts and expenses are debited and credited but arbitrarily increased the profits. The AO did not point out any specific mistake in the books of accounts maintained and produced before AO as is evidenced from the order sheet of assessment record. On the basis of the above, the learned CIT(A) deleted the addition in question by giving a finding that the provisions of Section 145 cannot be invoked in this case. But the Department has filed appeal without challenging the finding of the learned CIT(A) that the provisions of Section 145 are not applicable to the facts of this case. When the provisions of Section 145 have not been made applicable, the additions cannot be made on estimate basis. So, the ground of appeal taken by the Department is misconceived and has no merits and as such, dismissed.
5. In the result, the appeal of the Department is dismissed.