Ita/6/2001 Of M/S. Central Traders, Thrissur v. The Incometax Officer Ward 5, Thrissur

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE T.R.RAMACHANDRAN NAIR WEDNESDAY, THE 13TH FEBRUARY 2008 / 24TH MAGHA 1929 ITA.No. 6 of 2001() ------------------- ITA.28C/1997 of I.T.A.TRIBUNAL,COCHIN BENCH .................... APPELLANT : ----------------- M/S CENTRAL TRADERS, MUSEUM ROAD, TRICHUR. BY ADV. SRI.P.BALACHANDRAN RESPONDENTS: ------------- 1. THE INCOME TAX OFFICER, WARD-5, TRICHUR, 2. THE COMMISSIONER OF INCOME TAX, COCHIN, ERNAKULAM. BY ADV. SRI.P.K.R.MENON(SR.),SR.COUNSEL FOR IT SRI.GEORGE K. GEORGE, SC FOR IT THIS INCOME TAX APPEAL HAVING BEEN FINALLY HEARD ON 13/02/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.N. Ramachandran Nair &T.R. Ramachandran Nair, JJ. - - - - - - - - - - - - - - - - - - - - - - - - I.T.A.NO.6 of 2001 - - - - -- - - - - - - - - - - - - - - - - - - - - Dated this the 13[th] day of February, 2008. JUDGMENT C.N. Ramachandran Nair, J. This appeal arises from the order of the Tribunal disposing ofassessee's appeal for the assessment year 1991-92. The question raised iswhether the Tribunal was justified in sustaining rejection of the books ofaccounts and confirming best judgment assessment under Section 145 ofthe Income Tax Act. 2. We have heard Shri P. Balachandran, learned Senior Counsel forthe appellant and learned Standing Counsel appearing for the department. 3. On going through the order of the Tribunal and after hearinglearned counsel on both sides, we are of the view that the findings renderedby the Tribunal are only on questions of fact and no substantial question oflaw arises therefrom. The assessee, a dealer in arrack, returned a meagerincome of Rs.1,51,767/- on a total turnover of Rs.10,57,26,834/-. Theassessing officer rejected the books of accounts, because those were not fullor complete. In fact, addition made on account of unaccounted purchaseand sale was cancelled by the Tribunal on the ground that there is no proof ITA 6/2001 of unauthorised purchase and sale which is illegal. However, the Tribunalalso found that the books were incomplete, in as much as the entries in thebooks of accounts were not supported by bills or vouchers and therefore theestimation of profit was confirmed with modification. These findings areonly on facts and no substantial question of law arises from the order underchallenge. Therefore, the appeal is dismissed. (C.N. Ramachandran Nair, Judge.) (T.R. Ramachandran Nair, Judge.) kav/ ITA 6/2001 -3- C.N. Ramachandran Nair &T.R. Ramachandran Nair, JJ. - - - - - - - - - - - - - - - - - - - - - -I.T.A. No.6 of 2001- - - - - - - - - - - - - - - - - - - - - - JUDGMENT 13[th] February, 2008.