THE COMMISSIONER OF INCOME TAX Vs. SHAKTHI INDUSTRIES

JUDGEMENT

(1.) THIS appeal is preferred by the Revenue assailing the order, dated 16.10.2001, passed by the Income Tax Appellate Tribunal, Visakhapatnam Bench (for short 'the Tribunal') in I.T.A. No. 2008/H/96.

(2.) THE respondent is a manufacturer of nut powder and other products. Returns were submitted by it for the assessment year 1994 -95. Not satisfied with the accuracy of the facts and figures furnished in the returns, the Department undertook a survey on 21.12.1993 under Section 133A of the Income Tax Act (for short 'the Act') vis   -vis the respondent. In the course of survey, it was noticed that there was a deficit of tax to the extent of Rs. 12,94,666/ - and shortage of cash of Rs. 1,69,860/ -. The respondent accepted those figures and filed revised returns and offered to pay tax. Certain adjustments were also sought on the basis of the sales that have taken place during the relevant period. Ultimately, a revised order of assessment was passed by adding a sum of Rs. 6,68,850/ - as income in addition to what was assessed earlier.

(3.) THE respondent filed an appeal before the Commissioner of Appeals. The Commissioner allowed the appeal through order, dated 20.08.1996, by taking the view that there was no intention on the part of the respondent to conceal the income. The Revenue filed further appeal before the Tribunal under Section 254 of the Act. The appeal was rejected through the order, which is the subject matter of this appeal.