offered the peak of same for taxation
in his individual capacity. The Id. CIT(A) accepted the peak credit theory of
director of assessee company ... peak offered (by
Director) in the hand of assessee company after allowing credit of gold jewellery.
However, Id. CIT(A) accepted the peak theory
Shri Yaswant Sharma who has
surrendered peak credit for taxation. As discussed in para (ii) above, peak credit theory
of Shri Yaswant Sharma ... theory of peak without appreciating the
fact that this argument was not given by assesee earlier. However, even peak theory
has not been accepted
accept this theory,
only possible solution is to adopt peak credit theory to sustain
additions made by the Assessing Officer, for which the
assessee ... upon, then only peak credit recorded in the document
should be considered as undisclosed income of the assessee.
The peak credit theory
deleted and the Ld. CIT(A) also
confirmed the rejection of peak theory of the assessee. However, out of the
additions made ... hands of the assessee. The ITAT also accepted the peak theory in
para 50 and 51 on internal page 108 to 110 of its order
specific arguments are advanced before us as to how peak theory is not applicable
on the facts of this case. As Ld. CIT(A) rightly ... specific arguments are advanced before us as to how peak theory is not
applicable on the facts of this case. As Ld. CTT(A) rightly
addition so made may kindly be deleted.
4. Ground No. 4 - Peak Theory: The learned CIT(A) erred in confirming the
addition ... basis
of AIR information. The ld. CIT(A) has not applied peak theory, as there is deposit
and withdrawal of cash from bank. Therefore
been
withdrawn in cash and thereafter redeposited to take benefit under peak credit
theory. He argued that the appellant was in the business of property ... been withdrawn in cash and thereafter
redeposited to take benefit under peak credit theory. The appellant was in the
business of property dealership where major
submitted for addition on
account of unexplained investment basing upon the
peak theory?"
3. Brief facts of the case are that the respondent-
assessee ... making addition under the head
of unaccounted investment (peak) at
Rs.22,39,196/- and Estimation of Gross Profit on
account of unaccounted purchases
bogus bills. There
in survey of bogus purchase. Thereafter on the theory of peak
credit the disallowances were done. Consequent to learned CIT(A)
sustaining ... Dewasi, Prop. Of Shreenathji
Metal & Alloys
disallowances on the theory of peak credit. In our
bogus and made disallowances
considered opinion it is settled
Dr. P. Dayananda Pai, Bangalore vs The Deputy Commissioner Of Income Tax, ... on 26 July
