Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (10) TMI 655 - AT - Income TaxUnexplained investment - scope of section 132(4) - addition on the ground that during the course of search seized paper was found exhibiting advance payment was made by the family for purchase of a land - Revenue has relied on bhakti pocket diary and entries therein - whether only on the basis of the disclosure by an assessee, an addition can be made on account of undisclosed investment in the hands of the assessee ? - CIT(A) has confirmed orders of the AO - HELD THAT:- Addition on the basis of disclosure made under section 132(4) of the Act is to be made on the basis of other corroborative evidence exhibiting unexplained investment or unexplained asset possessed by an assessee. Except a disclosure on the strength of certain notings, the department failed to bring any other corroborative evidence exhibiting actual investment by these assessee in the purchase of any land. If the department is able to lay its hand on the details of vendor, details of land, some connection with actual transaction, by part payment through banking channel probably it could be assumed that apart from account payee payment, some cash amount might have been made. But that live link is grossly missing in the instant case. Therefore, we do not find any hesitation in holding that these additions are not sustainable in the hands of these assessee. Accordingly, the appeals and three COs of the assessee are allowed. - Decided in favour of assessee.
|