No Addition Solely on Difference Between Service Tax Data & Books: ITAT Delhi

Deepsons (India) Pvt. Ltd. Vs ACIT (ITAT Delhi)

Whether difference between turnover reflected in CBEC / Service Tax data and turnover recorded in the books of account can, by itself, justify an addition for under-reported revenue without independent enquiry by the Assessing Officer.

Brief Facts: The assessee filed return declaring total income of ₹1,02,48,020.

The case was selected for scrutiny and assessment was completed by making an addition of ₹4,21,34,712 alleging under-reporting of revenue, based on CBEC / Service Tax data.<

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