IN THE INCOME TAX APPELLATE TRIBUNAL “A”BENCH MUMBAI BEFORE SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER &

SHRI GIRISH AGRAWAL, ACCOUNTANT MEMBER (A.Y.2012-13)

Appellant by Ms. Ranjana Soni.AR Respondent by Shri Manoj Kumar Sinha, Sr. DR सनु वाई क(cid:21) तार(cid:24)ख /Date of Hearing 30.07.2024 घोषणा क(cid:21) तार(cid:24)ख/Date of Pronouncement 31.07.2024 ORDER PER PAVAN KUMAR GADALE, JM:

“

The appeal is filed by the assessee against the order of National Faceless Appeal Centre, Delhi / CIT(A), Mumbai passed u/sec 143(3) r.w.s 147 and u/sec 250 of the Act.

The assessee has raised the following grounds of appeal:

The Assessee prefers an appeal against an order dated 27/12/2023 passed by the National Faceless Appeal Centre (NFAC), Delhi on following amongst other grounds, each of which is without prejudice to any others:

1. On the facts and circumstances of the case and in law, the Learned CIT (Appeal) failed to consider the fact that the Assessing Officer has not provided the copy of reasons recorded to the appellant.

2. On the facts and circumstances of the case and in law, the Learned CIT(Appeal) has not provided proper opportunity of being heard to the appellant.

3. On the facts and circumstances of the case and in law, the Learned CIT (Appeal) has failed to appreciate the fact that the appellant has filed the return of income u/s. 139 of the act as well as in response to notice u/s. 148 of the Income Tax Act and books of accounts were maintained.

4. On the Facts and circumstances of the case and in law, the Learned CIT (Appeal) has failed to appreciate the facts that the appellant has submitted the details from time to time as asked by Ld. Assessing Officer.

5. On the facts and circumstances of the case and in law, the Learned CIT(Appeal) erred in confirming the rejection of books of accounts of the appellant u/s. 145 of the Income Tax Act, 1961 without appreciating the facts and submissions made by the appellant during the re-assessment proceedings

6. On the facts and circumstances of the case and in law, the Learned CIT (Appeal) erred in confirming the addition of Rs. 4,20,66,945/- being 15% of the total gross receipt disclosed in return of income by rejecting books of accounts u/s. 145 of the Act, without considering facts of the case.

6.1 On the facts and circumstances of the case and in law, the learned Assessing Officer erred in considering the returned income of Rs. 6,91,316/- while calculating total income even though has reject the books of accounts of the appellant.

7. Without prejudice, On the facts and circumstances of the case and in law, reasonable profit embedded in business to be added by the Learned Assessing Officer instead of at the rate of 15%.

8. The appellant craves leave to add, alter, amend or modify any or all grounds till the disposal of the Appeal.

2. The brief facts of the case are that, the assessee is engaged in the business of trading in garment, trading in Gems & Jewellery & trading in stainless steel. The assessee has filed the return of income for the A.Y 2012-13 on 30.09.2012 disclosing a total income of Rs.5,91,320/-. The Assessing Officer (AO) has received information from DDIT (Inv) wing in respect of the turnover of the assessee and the transactions entered with various parties as referred in page 2 of the assessment order. Therefore the AO has reason to believe that the income has escaped assessement and has issued notice u/sec148 of the Act and further the AO has issued notice u/sec 142(1) of the Act on various dates. In compliance to the notices, the Ld. AR of the assessee has filed the details and the AO has called for ledger accounts of the parties, confirmations and bank statements. Since the assessee could not file the complete inform