| The Tax Publishers2019 TaxPub(DT) 4201 (Ind-Trib) INCOME TAX ACT, 1961
Section 10(1A)
As the books of account for each and every transaction of agricltural income could not be maintained fully the estimation of agriculture Income for assessment year 2009-10 @ Rs. 30,000 per acre made by CIT(A) was justified.
|
Income - Agricultural income - Non-maintenance of books of account fully - Estimation of income on non-genuine agricultural income
Appeal by the revenue was directed against the treatment of part of the agricultural income as non-genuine and income from undisclosed sources. AO while examining the assessee's claim of earning agricultural income of Rs. 12,13,089 asked the assessee to substantiate the claim by furnishing documentary evidences regarding holding of agricultural land, details of agricultural lands put to cultivation, crops grown, quantities produced, sale consideration, expenses incurred, etc., and also to file the profit and loss account. CIT(A) while adjudicating the issue given finding of facts by directing the AO to estimate agricultural income of Rs. 25,000 per acre for assessment years 2003-04 and Rs. 30,000 for assessment years 2006-07 to 2009-10 respectively.Held: From perusal of the above finding of the CIT(A) which goes uncontroverted by the DR Revenue authorities have nowhere disputed that the assessee holds agricultural land measuring 10 acres since last many years. It was a known fact that regular maintenance of books of account and documentary evidences for each and every transactions entered into during the course of agricultural operations for buying the seeds, labour charges, sale of produced, purchase of fertilizers, etc. cannot be fully documented for various practical reasons. The AO had also not placed any contrary material to support its finding. Only remedy is estimation of income per acre. In certain cases as referred to in the finding of the CIT(A), the Tribunal had estimated income per acre at Rs. 15,000 during assessment year 1998-99 and Rs. 25,000 during assessment year 2005-06. CIT(A) had rightly estimated the agricultural income of Rs. 30,000 per acre for assessment year 2009-10. No interference was therefore called for in the well reasoned finding of the CIT(A).
REFERRED :
FAVOUR : In assessee's favour. (Partly).
A.Y. : 2009-10
INCOME TAX ACT, 1961
Section 69
 SUBSCRIBE FOR FULL CONTENT
|