Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2017 (12) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (12) TMI 1169 - HC - Income TaxAddition on account of jewellery holding that the same belonged to the 3 wives of the assessee - returns filed by the 3 wives under the presumptive Tax Scheme - We find that the Tribunal in dealing with this issue had accepted the explanation of the assessee that the amounts mentioned in the receipts found, which were in the name of the assessee, related to the disclosed income of his wives. The view taken by the Tribunal, on the facts and circumstances before it, we find, is a plausible view. Hence, we answer question (a) in the affirmative in favour of the assessee. Block assessment - addition of unexplained expenditure - cash payments during financial year 1995-96 and also from 1st April, 1996 to 7th August, 1996 as per seized document - Held that:- The Tribunal was of the view, inter alia, that if the recordings of the regular books of accounts be not up to date, that does not mean the entries, which can be verified from other primary books, would relate to undisclosed income of the assessee for the purpose of block assessment. The transactions, it appeared to the Tribunal, pertained to the regular business process of the assessee which stood disclosed before the department. It held that simply because some transactions were recorded in some of the seized documents, per se, they do not become undisclosed transactions. The assessee had explained the expenditure as out of huge cash withdrawals made by him. On that basis the Tribunal was of the opinion the transactions under consideration formed part of the regular books of accounts of the assessee and therefore this addition was deleted. Revenue was unable to demonstrate before us that this opinion of the Tribunal, on the facts noted by it, was perverse. We accordingly answer this question and all others related to it in favour of the assessee.
|