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2022 (4) TMI 1053 - AT - Income TaxUnaccounted investment u/s 69 - Addition on account of suppressed purchase price of land purchased - HELD THAT:- A glaring mistake was committed by the AO while computing the differential amount between purchase cost shown in purchase deed and market value determined by Stamp Valuation Authority. During search, original purchase deed and photocopies thereof were found and seized and the Assessing Officer inadvertently taken into consideration both the documents i.e. original purchase deed and photocopies thereof treating the same two different and distinct documents. We find that neither the sellers of impugned lands have admitted that impugned lands were sold over and above the amount disclosed in the registered deed nor any incriminating evidence was found and seized during the course of search to corroborate the allegation of the Assessing Officer and only making guesswork on the guideline value of the land and the transaction value, AO presumed that cash transaction was made. AO noted an example in the assessment order that one Mr. Sanjay Sharma sold 18 acres land to Mr. Mukesh Jhaveri and admitted ‘on money’ receipt - However, having gone through the remand report, the ld. CIT(A) recorded that the assessee firm never purchased any land from Mr. Sanjay Sharma. We are of the view that under Section 69 the onus is on the Assessing Officer to prove that the assessee made some unaccounted investment in purchase of property but in the present case, the Assessing Officer failed to discharge his onus and simply on guesswork, the addition was made. Since the Assessing Officer failed to pinpoint any instance by bringing any cogent and corroborative evidence on record where the assessee is found guilty of making payments to sellers over and above the value shown in the registered deed, the general remarks recorded by the Assessing Officer on the basis of presumption and assumption cannot be the basis for making the addition. Thus, we find that the ld. CIT(A), having made discussion on facts and relevant judicial pronouncements thereof, rightly held that the addition made is not based on any tangible evidence and there are no corroborative evidences in the hands of Revenue to substantiate the allegations of cash transaction - Decided against revenue.
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