Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (2) TMI 166 - ITAT BANGALOREAddition u/s 68 - Cash credit surrendered - Income erroneously offered by the assessee in current AY - Non-consideration of return of income filed in response to notice u/s 148 - whether an income voluntarily offered by the assessee can be held to be not assessable? - Rejection of the plea not to assess income, which was wrongly offered in the return of income - HELD THAT:- Assessee has offered the amount which formed part of sundry creditors balance. Major portion of very same amount was assessed in AY 2008-09 by the AO and deleted by the Ld CIT(A). AO has accepted the above said creditors in AY 2012-13. We have also noticed that the above said credits were not received during the financial year relevant to AY 2013-14. Even the assessee has surrendered above said amount voluntarily, yet the same is not legally assessable as income of AY 2013-14 as per the provisions of Income tax Act. As observed by Honourable Third member in the case of R Natarajan [2012 (4) TMI 329 - ITAT CHENNAI] the Income tax Act does not authorize levy of tax on the same amount of income more than once. It is also well settled proposition that income pertaining to a particular year can be assessed only in that year, i.e., the income pertaining to one year cannot be assessed in any other year. In the case of CIT v. Milton Laminates Ltd [2013 (3) TMI 192 - GUJARAT HIGH COURT] held that the Assessing Officer is free to give effect to order of Commissioner (Appeals) without restricting income to returned income, i.e., the assessing Officer can compute income lower than that returned income. In the case of Nirmala L. Mehta v. A. Balasubramanian [2004 (4) TMI 43 - BOMBAY HIGH COURT]held that, “There cannot be any estoppel against the statute, Article 265 of the Constitution of India in unmistakable terms provides that no tax shall be levied or collected except by authority of law. Acquiescence cannot take away from a party the relief that he is entitled to where the tax is levied or collected without authority of law”. We hold that the income erroneously offered by the assessee in AY 2013-14 cannot be assessed in that year, merely for the reason that the assessee has offered the same voluntarily. Appeal of the assessee is allowed.
|