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2015 (9) TMI 377

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..... ficer and the Ld. CIT (A) appears to have some merits, a detail finding on the submissions of the assessee with respect to the gift received from donors is lacking. Therefore in the interest of justice we remit the matter back to the file of the Ld. Assessing Officer for denovo consideration. - Decided in favour of assessee for statistical purposes. - I.T.A.No.257/Mds./2014 - - - Dated:- 5-8-2015 - SHRI N. R. S. GANESAN AND SHRI A. MOHAN ALANKAMONY, JJ. For The Appellant : Mr. G. Baskar,Advocate For The Respondent : Mr. P. Radhakrishnan,JCIT, D. R ORDER PER A. MOHAN ALANKAMONY , ACCOUNTANT MEMBER: This appeal is filed by the Assessee, aggrieved by the order of the Learned Commissioner of Income Tax(A), Salem dated .....

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..... othi, vehicle sale agreement and details of loan from M/s. Balaji Jewellers. The Ld. Assessing Officer on examining the same rejected the details furnished by the assessee for the following reasons:- i) The gift deed wherein in plain papers and undated which had no evidentiary value. ii) The cash flow statement of the donors annexed to the income tax return was filed on 8.11.10 i. E. 14 months after the admission of undisclosed income by means of affidavit. ii) The loan from M/s. Balaji Jewelers is obtained on 19.03.2010 i. E., six months after the admission of the undisclosed income by means of affidavit. iii) The photocopy of the vehicle sale agreement was not dated, and made on non-judicial stamp paper dated 12.02.2003 which .....

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..... en out of affection by a near relative, however small it may be, let alone a gift of ₹ 23,00,000/- given in cash on one day and incidentally by his own wife and daughter-in-law. 3. The gifts are supposed to have been given in cash and evidenced by an alleged gift deed on a plain sheet of paper, a photocopy of which was filed before the Assessing Officer. There is no other material evidence to show that the gifts have been given in the manner and on the date on which they are supposed to have been given. 4. The return of income for the AY 2010-11 was filed by the assessee on 08-11-2010 vide Receipt No.104277. The Returns of Smt V. Jothi and Smt. R Ramya for the AY 2010-11 were also filed on 08-11-2010 vide Receipt Nos. 104276 and .....

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..... , ₹ 1,50,000/- and ₹ 5,50,000/-, received from the assessee, Sri R. Velusamy, after the date of recording of his sworn statement. This again emphasizes the point made in para 5 that the affairs have been so managed so as to facilitate the arrangement of gifts. With the above observations the Ld. Assessing Officer rejected the claim of gift received by the assessee from his wife Smt Jothi and daughter in law R. Ramya aggregating to ₹ 23 lakhs and added to the income of the assessee as income from unexplained source. 4. When the matter cropped up before the Ld. CIT (A), the Ld. CIT (A) also agreed with the view of the Ld. Assessing Officer and confirmed his order by observing as under:- 6.2 Ground No.22 to 2.4 and .....

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..... the figure. The sudden increase in income from other sources is clinching evidence to this conclusion. 6.7 Ground No.2.10 states that the funds of the family were mixed and utilized by him, segregating the same correctly as gifts from and to then. There was no question of non-remembrance of gifts on date of survey. The appellants claim itself is an acceptance of an afterthought, after the statement. A perusal of the statement shows that there is no mention, even of mixed case of funds, let alone gifts. There is no mention of any financial transaction between family members. This clearly lends credence to the conclusion that the gift theory is an afterthought. In fact, the appellants claim seems to be actually accepting that the rece .....

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..... erials available on record. From the facts of the case it is apparent that the assessee had submitted cash flow statements, bank statements and affidavits from his wife and daughter in law for having received ₹ 23 lakhs. When the assessee had made such submissions, it is the duty of the Revenue to examine the veracity of the claim of the assessee by examining the source of the donee either by summoning them or by verifying the documents furnished by the assessee/donee. We do not find any such attempt made by the Revenue in the case before us. Moreover, though the reasons stated by the Ld. Assessing Officer and the Ld. CIT (A) appears to have some merits, a detail finding on the submissions of the assessee with respect to the gift rece .....

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