TMI Blog2015 (9) TMI 1356X X X X Extracts X X X X X X X X Extracts X X X X ..... lowed part relief - Held that:- No infirmity in the order of CIT(A). He has recorded the finding that the assessee has made another disclosure of ₹ 5 lacs in respect of unaccounted payment to brokers. Those payments are also recorded in the same seized pages and were part of the total payments made by the assessee at ₹ 76,30,540/-. Therefore, he reduced the addition to the extent of ₹ 5 lacs. This factual finding recorded by CIT(A) has not been controverted before us. We, therefore, find no justification with the finding of the CIT(A) in this regard. - Decided against revenue. Addition made on account of unaccounted investment in commodity trading - CIT(A) deleted the addition - Held that:- No justification to interfere with the order of the CIT(A). He has recorded the finding that various papers were found and seized from the assessee’s premises in which details of payments made by the assessee were mentioned. In those details, the payment of only ₹ 5 lacs to the brokers was mentioned and not ₹ 7,50,000/-. Therefore, the addition made by the Assessing Officer was only on the basis of statement of some brokers which was found to be contrary to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ring the course of search, total gold jewellery 4444.25 gms were found. The Assessing officer has treated only 400 gms per married lady as explained gold and allowed credit for 2000 gms considering 5 married lady and he has not allowed any credit for other members of family It is found from the records of appellant that search was conducted at both the premises being bungalow no 1 28 of Gautamnagar Co Operative Housing Society wherein appellant along with his family members are living. It is further found that gold jewellery found during the course of search for 4,444.25 gms. includes gold found from residential premises of appellant's family as well as locker No. 466,76, 77, 78 and 641 with Mehsana Urban Co-operative Bank Limited which are in the name of family members of appellant. It is observed from the panchnamas prepared both at the time of opening of the bank locker and during the course of search, out of 4444.25 gms of jewellery, 333.70 gms gold found from bank lockers are pertaining to married daughter, married niece and sister-in-law or nephew and 247.25 gms found from residential premises of appellant belongs to Dakshaben K. Patel being mother-in-law of Assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . This circular is explained by Hon'ble Ahmedabad I.T.A.T. in case of Kishorbhai V Sakaria , Rameshchandra R Patel 89 ITD 203 and Manila! S Dave 117 Taxman 23 referred supra wherein it has been explicitly held that though board circular is a guideline for not effecting seizure during the course of search, extended meaning of same shows the intention that the jewellery to the extent mentioned in such circular should be treated as explained jewellery and gold found to that extent for family members cannot be treated as unexplained in the hand of appellant. It is found from the details that gold found during the course of search belongs to all the family members of appellant who are living together as stated in preceding paras; hence respectfully following the aforesaid decisions along with circular of CBDT, I hold that the assessing officer is not justified in treating only 400 gms gold per married lady as explained gold but he ought to have treated 500 gms gold per married lady, 250 gms for unmarried lady and 100 gms for male members as explained gold. In view of same, appellant is entitled to credit of 3950 gms of gold as against which gold jewellery of 3863.30 gms excluding go ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... difference i.e. ₹ 6,30,240/-. 10. On appeal, the CIT(A) sustained the addition at ₹ 1,30,240/- with the following finding: 4.2 I have carefully considered the Assessment .Order, findings of Assessing Officer and the submission of the Appellant. The assessing officer has made addition of ₹ 6,30,240 mainly on the ground that seized data found during the course of search shows total credit given to various parties not accounted in books of account as ₹ 76,30,240 whereas appellant has disclosed only ₹ 70 lacs in return of income. The appellant has explained that seized data contain both receipt and payment hence entire payment cannot be taxed. It was also explained by appellant that as he is engaged in sarafi business which involve lending of money, its subsequent recovery and further lending to various persons which means rotation of money is involved hence only peak of such pages can be taxed. The appellant has also stated that vide letter dated 16th April 2009 to Assistant Director of Income tax (Investigation), it was explained that disclosure at the time of search was made without making analysis which is on higher side and on the basis of Pe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rted before us. We, therefore, find no justification with the finding of the CIT(A) in this regard. Accordingly, ground no.2 of the Revenue s appeal and the only ground of assessee s Cross Objection are rejected. 13. Ground no.3 of the Revenue s appeal reads as under: 3. The Ld. CIT(A) has erred in law and on facts in directing to delete the addition of ₹ 2,50,000/- made on account of unaccounted investment in commodity trading. 14. We have heard both the parties and perused the material placed before us. The Assessing Officer made the addition of ₹ 2,50,000/- on the ground that in the statement of Shri Ashwin J Patel he has given the payment of ₹ 7,50,000/- in respect of commodity trading. However, assessee made surrender of only ₹ 5 lacs in this regard. Therefore, the Assessing Officer made addition of ₹ 2,50,000/-. CIT(A) deleted the addition with the following finding: 5.3 I have carefully considered the Assessment Order, findings of Assessing Officer and the submission of the Appellant. The appellant during the course of search has stated that he has carried out trading in commodity and from the details obtained from appellant, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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