TMI Blog2019 (11) TMI 762X X X X Extracts X X X X X X X X Extracts X X X X ..... t provided in absolute terms and the word used is may and not shall , as such the revenue has to corroborate the entries made in the seized documents before presuming that transactions so entered were made by the assessee. Presumption so provided is not in absolute terms but is subject to corroborative evidence. In the present case, Tribunal only on basis of presumption under Section 132 (4A) of the Act, reversed the finding of CIT (A), without recording any finding as to how the loose sheets which were recovered during search, were linked with the assessee. In the absence of corroborative evidence, the Tribunal was not justified in reversing the finding by the CIT (Appeals). In view of the above, we are of the considered view that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en. Brief facts of case are that residential premises of the assessee was searched under Section 132 of Income Tax Act (hereinafter called as the 'Act') on 28.02.2000. Locker No. 64 Dena Bank, Abu Lane Branch, Meerut, which is in the joint name of assessee and his wife Smt. Aneeta Gupta, was also searched. During search, jewellery worth ₹ 7.44 lakhs was found from the assessee, while jewellery worth ₹ 13.55/- lakhs was found in the locker of assessee, out of which, jewellary worth ₹ 8.87/- lakhs was seized. Notice under Section 158-BC was issued to the assessee on 03.12.2001 for filing return of income. In compliance thereof, assessee filed return of income declaring NIL undisclo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at of A.O. Sri Parv Agarwal, learned counsel appearing for the assessee submitted that Tribunal while deciding the appeal failed to consider that revenue did not establish any connection between the entries recorded in loose papers found during search with the books of accounts. Further, the assessee on 29.11.2004 had made written submission that he does not have any knowledge about persons mentioned in the papers, as well as categorically denied the transaction. It was also submitted that the assessee denied both the papers before DDI investigation in his statement recorded under Section 131, which is part of the record at page 42 of paper book. It was also contended that Tribunal while re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n to the undisclosed income of assessee while the entries of said papers remained uncorroborated. This Court, in the case of CIT, Kanpur Vs. Shadiram Ganga Prasad, 2010 UPTC 840 has held that the loose parchas found during search at the most could lead to a presumption, but the department cannot draw inference unless the entries made in the documents, so found are corroborated by evidence. As, Section 132(4A) of the Act provides that any books of account, documents, money, bullion, jewellary or other valuable articles or things found in possession or in control of any person in course of search may be presumed to be belonging to such person, and further, contents of such books of account and documents a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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