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2021 (6) TMI 662 - AT - Income TaxTaxability of on–money - Addition u/s 68 - on-money transactions offered by the assessee‟s group concerns @12% of on-money receipts before the Hon‟ble Income Tax Settlement Commission - HELD THAT:- The issue of on money received by the assessee is proved beyond doubt from the records found during search proceedings and subsequent acceptance by the key personal of the Ahuja group. The issue before us is only consideration of the above said on money to be taxed under section 68 of the Act or Based on the findings of the CIT(A) that receipt of on money has to be taxed only on net income and estimated net income @25% of the gross on money received. Submissions of the assessee that the above said issues are already considered by the Co–ordinate Bench in Tulip Land And Developers [2021 (2) TMI 1170 - ITAT MUMBAI] and Bhalchandra Trading P. Ltd.[2021 (2) TMI 1095 - ITAT MUMBAI] and decided the issue in favour of the assessee in the appeal filed by the assessee and dismissed the issues raised by the Revenue. The assessee had already pleaded that on-money transactions were offered by the assessee‟s group concerns @12% of on-money receipts before the Hon‟ble Income Tax Settlement Commission and the same has been accepted by the Settlement Commission. Hence, the data and information was indeed available with the ld. CIT(A) to have some rational basis to make profit estimation in the hands of the assessee herein by following 12% thereof from the order of Hon‟ble Income Tax Settlement Commission. Accordingly, we direct the ld. AO to add only 12% of on-money receipts as undisclosed income of the assessee for the year under consideration. Accordingly, the ground No.1 & 2 raised by the assessee is partly allowed.
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