Survey Team Mistakenly Multiplies Bundle Weights instead of Accurate Weighing Leading to Quantity Mismatch: ITAT deletes

The Income Tax Appellate Tribunal (ITAT) deleted a ₹1.3 crore addition made by the tax authorities due to a mistake in calculating the weight of goods during a survey. The survey team had erroneously multiplied the bundle weights, leading to a significant discrepancy in the reported quantity. The tribunal ruled that such mistakes should not result in unjust financial penalties for taxpayers. This case underscores the importance of accuracy and due diligence in tax surveys, protecting businesses from the repercussions of clerical errors made by tax officials.