Commissioner Of Income Tax, Bikaner v. Sh. Gouri Shankar Singhal

[1] IN THE HIGH COURT OF JUDICATURE FOR RAJASTHANAT JODHPUR J U D G M E N T D.B. INCOME TAX APPEAL NO.17/2015 Commissioner of Income Tax, BikanerVersusSh. Gouri Shankar Singhal Date of Judgment :: 29.01.2015 PRESENT HON'BLE MR. JUSTICE GOVIND MATHURHON'BLE MISS JUSTICE JAISHREE THAKUR Mr. K.K. Bissa for the appellant BY THE COURT : The assessing officer by comparing case of theassessee with some other firm treated his gross profit rate as17.22% and added a sum of Rs.20,12,417 with taxableincome. Being aggrieved by the same, the assessee preferredan appeal before the Commissioner of Income Tax (Appeals)and that came to be accepted under the judgment dated28.02.2013. Learned Commissioner of Income Tax (Appeals)after considering submissions of the assessee arrived at aconclusion that the case quoted by the assessing officer wasnot applicable in the case in hand. Learned Commissioner ofIncome Tax (Appeals) directed the assessing officer to applygross profit rate of 7.19%. The Revenue assailed validity of the order passed by the Commissioner of Income Tax by wayof filing an appeal before the Income Tax Appellate Tribunal,Jodhpur Bench, Jodhpur, that came to be rejected by thejudgment impugned dated 13.12.2013. While questioning correctness of the orders passedby the Commissioner of Income Tax (Appeals) and the IncomeTax Appellate Tribunal, the argument advanced by learnedcounsel for the appellant-Revenue is that the assessing officercompared gross profit rate of the assessee with a firm situatedin the same vicinity and involved in the same business.According to learned counsel, a rational and reasonablecriteria was adopted by the assessing officer and that shouldhave not been interfered by the Appellate Tribunal. We do not find any merit in the argument advanced. Learned Commissioner of Income Tax whiledetermining 7.19% as gross profit rate noticed that theassessing officer while rejecting the books of accounts appliedgross profit rate of 17.22% on basis of the case of M/s.Tarsem Kumar & Co., but the same was distinguishable onfacts. The Commissioner of Income Tex on examination ofpeculiar facts of the instant case, arrived at the conclusionthat the highest gross profit rate of immediately 2 previousassessment orders should be accepted as gross profit rate.Accordingly, the rate of 7.19% was applied. The orders passed by the Commissioner of Income Tax as well as the Income TaxAppellate Tribunal are quite reasoned and those do notrequire any interference being not having any substantialquestion of law to be adjudicated. The other argument advanced by learned counselfor the appellant pertains to creditworthiness of the assesseeand that too, in our opinion, does not involve any substantialquestion of law that may warrant interference in this appeal. The appeal is dismissed, accordingly. , J. , J. Pramod