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2014 (2) TMI 421 - AT - Income TaxDeletion made on addition made by AO on protective basis - Whether the CIT(A) was justified in deleting the protective addition when the land companies are in appeals against the confirmation of substantive addition and thus the issue of substantive addition has not yet reached finality – Held that:- There was no evidence to support the Revenue's case that a huge figure, whatever be its quantum, over and above the figure booked in the records and accounts changed hands between the parties, no addition could therefore be made u/s. 69C of the Act to the income of the assessee - The Tribunal has already given a finding that no addition can be made in the hands of those companies on substantive basis on the basis of material found during the course of search - Neither there was any evidence to show that any cash has changed hand nor there was any confirmation from the sellers from whom the land in question was purchased and after analyzing all these facts the Tribunal came to the conclusion that no addition can be made in the hands of the companies – the additions could not be sustained. Protective assessment can be made if the same amount is added in one hand and the same amount is added in another hand on protective basis - the AO made substantive addition in the hands of land companies and protective basis in the hands of assessee for these three years - The Tribunal has taken a decision that no addition can be made on the basis of material found during the course of search - In the case of the assessee, the addition cannot be deleted merely on the basis of the findings of the Tribunal, even on merit no addition can be made in the hands of the assessee - the protective addition made in the hands of the assessee for these three assessment years, was not justified - the order of the CIT(A) confirmed, who deleted the addition in the hands of the assessee made on protective basis – Decided against Revenue.
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