9911796707
TMI Blog2017 (10) TMI 780X X X X Extracts X X X X X X X X Extracts X X X X ..... ces relating to undisclosed incomes of the assessee ? II. Whether the ITAT was correct in not considering that the function of the Assessing Officer is not only of an adjudicator but also an investigator; it is duty of the A.O. to ascertain the truth of the facts stated in the return/statement made, when the circumstances of the case are such to provoke inquiry, whereas in the present case the A.O. has framed assessment on the basis of statement without making any investigation ? III. Whether the ITAT rightly not considered the contradistinction in the powers provided under Section 133A and section 132(4) of the Act as contemplated under law? 2. The brief facts of the case are that the appellant is a private limited company incorporated under Indian Companies Act, 1956. The appellant deals in business which was commenced with effect from February, 2006 and was terminated in April, 2007. For the first period the appellant company has filed the return of income declaring total income of Rs. 30,690/- on 10.11.2006 3. The case of the appellant was selected for scrutiny under Section 143(2) of the Income Tax Act, 1961 (hereinafter referred to as the 'Act') on 01.11.2007 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Shri Padam Supari Traders, on 29.08.2008, notice u/s 142(1) along with questionnaire were issued fixing the date for 05.09.2008. On 05.09.2008 no compliance was made. However, on 06.10.2008 Srhi K.L. Goyal, C.A. attended and requested for adjournment. Case was adjourned to 13.10.2008. On 13.10.2008 Shri K.L. Goyal, C.A. attended and requested for adjournment. Case was adjourned to 20.10.2008. On 20.10.2008, no compliance was made. On 19.12.2008 Shri K.L. Goyal, C.A. attended . He is required to explain as to why a sum of Rs. 5,00,000/- surrender in the case of aforesaid company during the course of survey u/s 133A on 30.01.2008 may not be added in the income of the company for the A.Y. 2006-07. Case was adjourned to 27.12.2008. On 27.12.2008, Shri K.L. Goyal, C.A. attended and filed written reply to the query raised vide order sheet entry dated 26.12.2008 alongwith an affidavit of Shri Neeraj Kumar Maheshwari, Director with CD-03 A/c books for the Assessment Year 2006-07, which are placed on file. 5. Aggrieved by the order of the assessment, the appellant assessee filed an appeal before the Commissioner of Income Tax (Appeal) II, Agra. The Commissioner of Income Tax (Appeal) has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sstt. Director of Income-tax(Inv.) Agra dated 12.06.2008 To, The Addl Director of Income Tax (Inv), Agra. Madam, Sub: Survey report in the cases of Maheshwari Group, Agra Reg;- **********************. Kindly refer to the above. A search & seizure operation u/s 132 was carried out on 30.01.2008 at Agra in Keshwani group of cases, engaged in manufacture of Gutkha with branded name commonly known as 'Shankar Gutkha'. Simultaneously, some related raw-material suppliers were also got surveyed under the provisions of section 133A of the Act. In that process, survey operations were carried out on the following business premises of Maheshwari Group: 1. M/s Maya Commodity Centre, M/s BRG Company, and M/s Shree Supari Spice (P) Ltd. Tiwari Gali, Rawatpara, Agra. 2. M/s Maya Trading Company, Tiwari Gali, Rawatpra, Agra 3. Godown of Maya Trading Company (Ground Floor) at S.R. Market, Daresi No.2, Agra 4. Shop at Chitti Khana, Rawatpara, Agra During survey proceedings, the statements on oath of different persons available at the premises covered were recorded. In addition, stock inventories with cash and books of accounts and other documents fou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /s BRG Co., assessed with ITO 4(1), Agra in current year as unexplained investment in purchase of the building. His statement was also recorded at his shop at Chitti Khana, where he has made surrender of Rs. 2.14 lacs as excess cash found in the case of partnership firm, namely Maya Trading Company. Stock inventory was also prepared at its godown situated at ground floor. S.R. Market, Daresi No.2, Agra and stocked found was finally valued more by Rs. 37,11,782/-. On being asked to reconcile the excess stock found and source of investment into such excess stock. Shri Neeraj, one of the partners of the above said firm has unequivocally accepted the position of excess stock found and pointed out and has further surrendered an income of Rs. 37,11,782/- as unexplained and undisclosed investment in stock found but not recorded in regular books of accounts. Shri Neeraj Maheshwari is also engaged in the business of purchase and sale of supari on commission basis in his own account. When asked as to account for commission earned and its accounting procedure followed, Shri Maheshwari has made a surrender of Rs. 4 lacs in AY 2007-08 and Rs. 6.5 lacs in AY 2008-09 as undisclosed commission ear ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 08. Further that the appellant was accordingly revised his return with a condition that no penal proceedings shall be initiated against him. For the ready reference the aforesaid question no.5 and the reply of the appellant is being narrated hereinbelow; 14. From perusal of the record, it is clearly transpires that while filing an application dated 27.12.2008, the appellant has stated before the Assistant Director of Income Tax (Investigation) that he was forced to surrender the said amount at the time of survey, whereas there is no evidence or material furnished by the assessee to support the said contention and in fact the assessee himself has surrendered the amount as his undisclosed commission income of Rs. 5,00,000/- in assessment year 2006-07 and Rs. 7,00,000/- in assessment year 2007-08. 15. Admittedly, the assessing authority has allowed enough opportunity to the assessee starting immediately from the date of survey till the assessment order dated 29.12.2008 is passed but the appellant for the first time stated that he has been forced to surrender the said amount only a day before the assessment proceedings are completed and the assessment order has been passed i.e. 27.12 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
