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2022 (12) TMI 780 - AT - Income TaxRevision u/s 263 - Addition u/s 68 - Assessee has owned up and surrendered the amount of investment in firm as its investment and contribution - HELD THAT- In the absence of any credit in the books of assessee partner, the provisions of Section 68 has no application on which the al legation is based. In such factual matrix, we find merit in defense of the assessee that chargeability of tax with reference to Section 115BBE is not permissible in the present case towards purported undisclosed income declared by the assessee in the course of survey. As pointed out, the assessee being partner of the firm, claims to have invested the impugned amount in the partnership firm and surrendered as its undisclosed income. CIT in the revisional proceedings could not have invoked Sect ion 68 towards such unexplained investments in the firm in the absence of any credit in the books of assessee per se and the right course, possibly, could be Section 69 of the Act at best for which no case has been made out by the Pr.CIT. As contended Tribunal cannot uphold the revisional action of the Pr.CIT on a different ground then what is alleged in the revisional proceedings as held in CIT vs. Jagadhri Electric Supply and Industrial Company, [1981 (3) TMI 19 - PUNJAB AND HARYANA HIGH COURT] - We thus find traction in the contention that where Section 68 as alleged and invoked by the Pr.CIT is not applicable, Section 115BBE could not be triggered by modifying the premise of revisional direct ions. The revisional act ion of the Pr.CIT thus fails on this count also. Appeal of the assessee is allowed.
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