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2011 (9) TMI 325 - HC - Income TaxUndisclosed income - Block assessment - Held that:- in the entire scheme of arriving at the undisclosed income for the block period there is no scope for estimating the income. It should be on actuals. In other words, the assessing officer cannot estimate the undisclosed income. - If it is a case of estimation of income it falls outside the said provision. In Section 158BB the Parliament has consciously used two words, one 'computing' and the other 'assessment'. - The word "computation" is completely distinct and different from the word "estimate", which means: the action of valuing or appraising: an approximate calculation based on probabilities. - In the instant case admittedly the seized material showed undisclosed income for a period of 89 days. On that basis the assessing officer has estimated the undisclosed income for 365 days and then has arrived at the undisclosed income for two years. Such a computation of income based on estimation is contrary to the aforesaid statutory provision. - Decided in favor of assessee.
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