ITA No. 2542/KOL/2019

Parties Involved

Facts Summary

The assessee, M/s. Skyscraper Projects Pvt. Ltd., filed its return of income for the assessment year 2012-13 disclosing total income of Rs. 3,66,69,260/-. The case was selected for scrutiny, and the assessing officer (AO) issued notices under sections 143(2) and 142(1) of the Income Tax Act. The AO asked for details of sundry creditors and major expenses, which the assessee failed to provide adequately. The AO estimated the net profit at 8% of the total turnover and assessed the income from civil construction business at 8% of the total turnover. The assessee appealed against the order, and the Commissioner of Income-tax (Appeals) allowed the appeal. The revenue appealed to the Income Tax Appellate Tribunal (ITAT).…

Legal Issues

• 1. Deletion of addition on account of sales & service tax u/s 43B of the Act of Rs. 2,23,11,140/-
• 2. Deletion of Rs. 3,18,44,538/- on account of unexplained cash credit due to the lack of identity, genuineness of transaction and creditworthiness of the creditors.

Judgment Outcome

Decided in favour of Partly Assessee / Partly Revenue.

Precedents Relied Upon

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