2010 (10) TMI 73 - HC - Income Tax

Addition - Opinion of the DVO - it is settled law that the primary burden of proof to prove under-statement or concealment of income is on the revenue and it is only when such burden is discharged that it would be permissible to rely upon the valuation given by the DVO. It has been further held that in any event the opinion of the DVO per se is not an information and cannot be relied upon without the books of account being rejected

Summary

The High Court dismissed the appeal filed under Section 260A of the Income Tax Act, 1961, challenging an order by the Income Tax Appellate Tribunal for the Assessment Year 2005-2006. The Assessing Officer's addition to the respondent's income based solely on the DVO's report was not upheld as the burden of proof lies with the revenue, and the DVO's opinion cannot be relied upon without rejecting the books of account. The appeal was dismissed in accordance with the law established in Commissioner of Income Tax Vs. Shri Bajrang Lal Bansal.