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2016 (7) TMI 373 - AT - Income TaxLevy of surcharge - block assessments - Held that:- Levy of surcharge is squarely covered by the judgment of the Hon’ble Apex Court in the case of Vatika Township (P) Ltd.(2014 (9) TMI 576 - SUPREME COURT ), wherein the Hon’ble Apex Court has held that though the provision for surcharge under the Finance Acts has been in existence since 1995, the charge of surcharge with respect to block assessments, having been created for the first time by the insertion of the proviso to section 113 of the Income Tax Act, 1961, by the Finance Act, 2002, is clearly a substantive provision and is to be construed as prospective in operation. The amendment neither purports to be merely clarificatory nor is there any material to suggest that it was intended so by Parliament. Thus the preposition that the levy of surcharge was not to apply to block assessments pertaining to period prior to 1.6.2002 and that the intention of the legislature was not to give it a retrospective effect confirmed. - Decided in favour of assessee Addition on account of undisclosed investment in purchase of farm land - addition made on substantive basis - Held that:- The investment made in Farm land has already been declared by M/s JPM Farms P. Ltd. and duly accepted by the AO in its block assessment. As find no reason to add the same again in the hands of the appellant. Therefore, the AO was not justified in making the impugned addition .- Decided in favour of assessee Addition made on account of benami investment in Share Capital of different companies - Held that:- The addition has already been made in the case of respective companies on substantive basis, the AO was not justified in making the impugned addition - Decided in favour of assessee Addition on account of bogus job works through MEW Tools Pvt. Ltd - Held that:- Admittedly, the addition including 1/3rd of the amount, as alleged to be received by the appellant has already been added while framing block assessment in the case of MEW Tools P. Ltd. and also in the case of M/s Jay Yushin Ltd. on substantive basis. This fact has also been admitted by the AO in his assessment order. Therefore, no further addition of the same amount can be made in the hands of the appellant, which has already been taxed, on substantive basis, in the hands of the M/s MEW Tools P. Ltd. and M/s Jay Yushin Ltd. Thus there is no justification for making addition in the hands of the appellant. - Decided in favour of assessee
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