Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2016 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (4) TMI 945 - AT - Income TaxAddition u/s 69B on lands purchased in villages - on money received - Held that:- Both the lower authorities are found to have heavily relied upon assessee’s vendors’ statements in drawing inference of on money in question. We reiterate that this inference is not based on any evidence either in the statements directly or indirectly linking assessee to any incriminating evidence so as to reach to on money finding. We take note of the fact that the Central Board of Direct Taxes in its circular dated 10/03/2003 has already stated that such admission/confession made in course of search have to be based on the relevant evidence collected. Hon’ble jurisdictional high court in Kailashben Manharlal Choksi vs. CIT (2008 (9) TMI 525 - GUJARAT HIGH COURT) deals with a case of assessment year 1989-90 and holds identical situation after noting Board’s circular that addition of undisclosed investments merely on search statement not supported by any evidence is not sustainable. We deem it appropriate to observe here that the impugned addition is also based on mere statements retracted within two months which nowhere names the assessee or establish any link to the alleged unexplained investments in question. We draw support from the above stated precedents for accepting assessee’s arguments. The Revenue’s submissions supporting the Assessing Officer’s findings stand rejected. We delete entire addition made u/s. 69B of the Act qua lands purchased in villages Bavla and Kerala - Decided in favour of assessee
|