Assessee company was engaged in the milk processing business. A search was conducted at the premises and documents reflecting unaccounted sales for a period of 20 days were discovered.  The assessee company claimed that the unaccounted portion was handed over to the director of the company to deal with in his individual capacity.  To this the director also confirmed in affirmative stating that he had already offered to tax the income from such milk, which was acknowledged by the AO.  However, the AO, without any justification and without bringing any documents on record considered that such unaccounted sales was done for 2 AY’s rather than 20 days only and accordingly made an addition to the income of the assessee company.  Also the assessee contended that the AO, in his whims and surmises, has considered the extrapolation only for 2 AY’s, if he was so confident about the seized documents and the income therein, he should have extrapolated for the entire block of six years. It was held that, here as the income from the unaccounted milk was already declared by the director and tax was paid on it, the addition made was completely unjustified and was to be deleted.  (AY. 2011-12, 2012-13)