RAMA ASSOCIATES (P.) LTD. Vs. INSPECTING ASSISTANT COMMISSIONER.

JUDGEMENT

(1.) The assessed is aggrieved of the order dated 4 -2 -1987 of the learned Commissioner of Income Tax (Appeals) -V, New Delhi for the assessment year 1983 -84.

(2.) The assessed is a private company. For the assessment year in question the assessed had exported rice to Russia. It is an exporter of Basmati rice. The first four grounds of appeal relate to the disallowance of Rs. 7,534 representing interest. The disallowed amount represented interest on a deposit of Rs. 2 lakhs. It appears that no details thereof were given in the assessment order and the only observation made by the Inspecting Asst. Commissioner (Assessment) was that "Interest on deposit of Rs. 2 lakhs which is treated as income from undisclosed sources in assessment year 1982 -83.

(3.) In appeal, the learned Commissioner of Income Tax (Appeals) observed that the assessed had surrendered an amount of Rs. 5 lakhs as against the addition of Rs. 7,53,000 made in the assessment year 1982 -83 vide order dated 26 -6 -1986 of the IAC (A) and since the addition of Rs. 5 lakhs was made on account of unexplained deposits, the addition was confirmed.