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 976 - AT - Income TaxAssessment proceedings initiated u/s. 153C r.w.s. 143(3) - HELD THAT:- Revenue’s case accordingly is that the CIT(A) has erred in holding that the impugned assessment(s) are also invalid on account of no satisfaction having been recorded at the AO’s behest. We find these Revenue’s arguments to be not sustainable since the AO's above extracted satisfaction note has nowhere indicated that the relevant category of assets or books of account etc. “belongs to” the assessee / a third person than that subjected to the search in issue. We make it clear that the legislature has included “relates to by in sec. 153C way of an amendment by the Finance Act, 2015 with effect from 01.06.2015 whereas the satisfaction in issue was recorded much earlier than that on 16.03.2015. We hold that the CIT(A)’s findings under challenge to this effect deserve to be upheld. We order accordingly. Disallowance of sec. 35(1)(ii) deduction on account of its contribution made to the “School of Human Genatics and Population Health” - HELD THAT:- The general statement of Shri Swapan Ranjan Dasgupta against donation made the claim of assessee for deduction suspicious. However, when the AO investigated, Shri Swapan Ranjan Dasgupta has confirmed that M/s. Herbicure was in receipt of the donation and it has not given any refund in cash, then the sole basis of disallowance of claim as a matter of fact disappeared. It should be remembered suspicion howsoever strong cannot take the place of evidence. The confirmation from Shri Swapan Ranjan Dasgupta fortifies the claim of the assessee for weighted deduction u/s. 35(1)(ii). The sole basis of the addition/disallowance based on statement recorded on oath during survey cannot be allowed as held by Hon'ble Supreme Court in Kader Khan & sons [2013 (6) TMI 305 - SC ORDER] . Moreover, we note that if the AO was hell bent determined to disallow the claim of the assessee, then he should have granted an opportunity to cross examine Shri Swapan Ranjan Das Gupta and Shri Kishan Bhawasingka as held by Hon'ble Supreme Court in Andaman Timber.
|