TMI Blog2018 (2) TMI 981X X X X Extracts X X X X X X X X Extracts X X X X ..... tween the Company and its Directors that the land bought in the name of the Directors shall be the sole property of the Company. The sale deed dated 16.10.2010, vide which the land under consideration was sold to M/s Oracle Realty Developers, showed that the consideration is to be paid to the Company. Even the AO in its remand report admitted that the sale proceeds were received by the Company. The bank statement of the Company fortified the said fact. The assessment of the Company was framed vide order dated 08.11.2011 under Section 143 (3) of the Act. On analysing the above mentioned evidence and fact, the addition was deleted. The question raised by the Revenue in the appeal is a question of fact and not a question of law, much less a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essment under Section 143 (3) of the Income Tax Act, 1961 (for short, Rs.the Act'), vide order dated 28.11.2011. The AO made an addition of ₹ 1,13,02,800/- of the investment made to purchase land from undisclosed source of income. 4. The CIT (Appeals) allowed the assessee's appeal vide order dated 19.07.2012. The CIT (Appeals) took into consideration that transfer of land in favour of assessee was to facilitate conversion of agricultural land to non-agricultural land as per the State laws. The land though in the name of the assessee was shown in the balance sheet of the Company. The MOU entered between M/s KTC Developers Pvt. Ltd. (for short, Rs.the Company') and its Directors was that property will be in name of Direct ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e name of at least of its two Directors who had farmer status. It was for this reason that some of the land in the name of Shri Niwas Thakur was transferred in the name of the assessee without any consideration. 7. Addition was made of undisclosed income invested in purchasing the land, considering the facts that the sale deed showed payment of full amount of consideration, in the revenue record the assessee was shown as an ultimate owner and there was no proof showing that the assessee was a farmer or having agricultural income. 8. Copies of the return for the assessment year 2009-10 and 2010- 11 showed that the agricultural income was declared. As per the Maharashtra State laws, agricultural land can be acquired only by farmers. The ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
