Tribunal held in the stock of yarn, the assessee had included yarn of 11182.31 kgs. which was actually waste and found during the course of survey. However, the Department had valued it as stock of fresh yarn. Accordingly, there was no justification in upholding the addition of 11182.31 kgs. of yarn amounting to Rs. 19,64,396.40. Accordingly, there was no merit in the action of the Commissioner (Appeals) for upholding the addition of Rs. 19,64,396.40. The Assessing Officer was directed to delete the entire addition of Rs.1,02,46,949.32 made under the head of yarn. (AY. 2013-14)
Shreeji Sulz P. Ltd. v. ACIT (2019)73 ITR 165 (Jaipur)(Trib.)
S. 153A : Assessment-Search or requisition-income from undisclosed sources-excess stock-waste included by assessee in stock of yarn-department treating it as fresh yarn and making addition–Addition is held to be not valid.