TMI Blog2007 (9) TMI 632X X X X Extracts X X X X X X X X Extracts X X X X ..... e cash credit and addition of ₹ 1,90,000 was fully justified. Accordingly, the order passed by the CIT(A), dated 11-12-1996 (A-3), has been set aside. The assessee-appellant has claimed that following substantial questions of law would arise for our determination: (a) Whether, in view of peculiar facts and circumstances of the case, the ITAT was justified in concurring with the order of the Assessing Officer thereby setting aside order of CIT(A) on the basis of conjectures and surmises and without citing anything against the appellant on record and thereby treating a genuine gift as bogus? (b) Whether the gift given by a Non-Resident out of natural love and affection to daughter of a friend for her marriage in lieu of help b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ot subject-matter of challenge in the instant appeal. The Assessing Officer assessed the net taxable income as ₹ 33,79,532 instead of ₹ 1,16,460 mentioned in the return which was initially filed and processed under section 143(1)(a) of the Act. 3. On appeal to the CIT(A), the additions made by the Assessing Officer were deleted to the extent of ₹ 27,92,685, including the addition of ₹ 1,90,000 on account of gift received from Shri Natha Singh. The view taken by the CIT(A) in deleting the addition of ₹ 1,90,000 is discernible from para 11.2 of the order, which reads as under :- 11.2 I have considered the facts of the case and the submissions of the ld. counsel for the assessee. I have also gone through t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he case of Daljit Singh v. ITO [IT Appeal No. 84 (Asr.) of 1990 dated 7-6-1995] as well as observations of Delhi High Court in the case of CIT v. Sunita Vachani [1990] 184 ITR 1211. 5. However, on further appeal to the Tribunal by the revenue, the view taken by the CIT(A) on the issue of gift was reversed by holding as under:- 61. With regard to this issue, we are not in agreement with the assessee that his gift needs to be accepted as genuine gift. Admittedly, there is no relationship between the donor and the donee. Also there was no occasion for making the gift. Strikingly, the sister and brother-in-law of the donor live in the same village as that of the assessee. However, that the donor had never made any gift to them on t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arned CIT(A) was not validly possible to the arrived at (?). Direct evidence can never be available for every thing. Sometimes, the facts speak loud and clear. Very often, like in the present case, the courts have to go through the enquiries from the attending circumstances. In the present case, the circumstances do not go in favour of the assessee. The grievance of department is justified. 6. We have heard learned counsel for the assessee-appellant at a considerable length and find that the appeal merits dismissal because there are categorical findings recorded by the Assessing Officer which have been duly affirmed by the Tribunal. The financial capacity of the NRI Shri Natha Singh has been found to be so inadequate that the claim mad ..... X X X X Extracts X X X X X X X X Extracts X X X X
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