Sec 145 (3)
preet
(Querist) 28 December 2010
This query is : Resolved
Electricity Units:- If variation is made in day to day consumption units of electricity that books of accunts is rejected on that basis???? plz also refer judgement
H.M.Patnaik
(Expert) 29 December 2010
Variation in electricity consumption on day to day basis cannot become a basis for rejection of books of accounts of an assessee until an unless it is based on certificate obtained from the respective electricity supply authority that the expenditure booked in the accounts are not true/correct and the expenses disclosed on account of electricity consumption grossly differs from what is deposited with them with reference to the bills raised. in case of a business like that of a cold storage where electricity consumption is a major element of expenditure having material bearing on the profitability of business,such a certificate/ official document establishing the manipulation of books may lead to rejection of books of accounts.
