TMI Blog2013 (10) TMI 114X X X X Extracts X X X X X X X X Extracts X X X X ..... provide reasonable opportunity to the assessee. He did not allow cross-examination of D.N. Taneja by the assessee nor any bank statement or other records were found connecting these entries to Reena Arora - The investment made by Reena Arora and quantum was purely a guess work, which has been arrived at on surmises and conjectures without giving her an opportunity to be heard – Decided against the Revenue. - Income Tax Appeal No. - 555 of 2009 - - - Dated:- 24-7-2013 - Hon'ble Sunil Ambwani And Hon'ble Surya Prakash Kesarwani,JJ. For the Appellant : Shambhu Chopra/Sc For the Respondent : S. K. Garg, A. Bansal ORDER 1. We have heard Shri Sambhu Chopra, learned counsel for the income tax department. Shri Ashish Bansal appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 15.2.2003, on which a refund of Rs.53,621/- was issued on 26.6.2003. On the basis of some information from CIT, Central Circle-18, New Delhi regarding tax evasion by Smt. Reena Arora in the form of investments in the immovable property during financial year 2001-02 relating to assessment year 2002-03 an action under Section 147 read with Section 148 of the Act was taken by issuing notice under Section 148 on 23.12.2004. 5. The assessee filed objections regarding initiation of proceedings under Section 147 read with Section 148 of the Act. She relied on GKN Driveshafts (India) Ltd. v. I.T.O. Ors., 259 I.T.R. 19 (SC) and submitted that the information relied on to issue notice under Section 147 was not credible information. The entries i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d. Besides, the document in question, bears the noting at top i.e. (Parveen Dilbagh) and it only indicates schedule of payments. In other words, the name of the appellant does not appear on the document. I do not understand on what basis additions of Rs.21 lacs have been made in the impugned assessment order. When the documents are recovered from third party's premises, on which AO relies for making addition in any case, then AO's are expected to provide reasonable opportunity to the person, against whom such documents are proposed to be used. Such reasonable opportunity includes opportunity to examine the document (s) and rebut the contents of the same. Besides, AO's are also expected to allow the cross examinations of the party from whose ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ade by Shri D.N. Taneja in the search and seizure operations on 22.8.2001 in which incriminating documents were seized; statements were recorded and on the basis of which D.I. has submitted report that family members of Arora Group including Reena Arora had made investments. In the investments found recorded in the diaries of Shri D.N. Taneja he had admitted receipt of Rs.3.25 crores. He submits that Smt. Reena Arora had admitted that she had purchased the properties. The statement of Shri D.N. Taneja and the diary entries clearly connected the investments made by Smt. Reena Arora and thus there was sufficient material to proceed under Section 147. 9. We have examined the assessment orders, appellate order as well as the order of the ITAT ..... X X X X Extracts X X X X X X X X Extracts X X X X
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