Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2019 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (9) TMI 718 - AT - Income TaxUnexplained investment - loose paper was found from the premises of the assessee exhibiting the purchase of a property - HELD THAT:- As per the loose paper, the assessee has agreed for payment of 30% at the time of booking; 15% at the time of possession, and balance 55% in eight instalments from February, 2008 to September, 2008. Search was conducted on 11.2.2010, meaning thereby, all these instalments have been adhered to because first time assessee has disclosed cancellation of deal in the statement recorded on 3.5.2010. We could appreciate the case of the assessee had he produced refund of booking amount before the search, that is, if the assessee has demonstrated that payment of ₹ 1.70 lakhs paid through DD was received back by him before 11.2.2010. To some extent it could be appreciated that this paper was pertaining to negotiation of certain deal. It is also important to note that we have to evaluate the position of the payment on the time mentioned in the loose paper. If the assessee has paid money in cash in accordance with the schedule, then it is to be construed that unexplained expenditure was incurred; on cancellation of the deal, even after the search, the assessee has got cash component in cash. He will not disclose it anywhere that circumstances would not absolve him from explaining position of availability of cash from explained sources also at the time of payment reflected in the schedule. It CIT(A) has made a detailed analysis of this schedule in the light of payment through DD and observed that probability of incurrence of expenditure according to the schedule is much more. Only circumstance highlighted by the assessee before us is that deal was cancelled, and therefore, there was no motive or objective to make unexplained investment. The fact that the deal was cancelled has not been brought on record. It is a declaration after the search, which is not relevant factor. Therefore, we do not have any hesitation in concurring with the Revenue authorities on this issue. - Decided against assessee.
|