TMI Blog2019 (1) TMI 1836X X X X Extracts X X X X X X X X Extracts X X X X ..... to not address the correct facts. In the facts of the present case, admittedly 30 Kanal 12 Marla have been sold in village Ferozepur Bangar, Distt. Mohali on 28.01.2011 as per the Sale Deed which has been taken note of by the Department. The fact that it reflected an amount of ₹ 47,81,250/- is a matter of fact. The short issue for consideration was the value of the land sold at the relevant point of time. The AO in the facts of the present case should have carried out necessary enquiries as he had the PAN details of the purchaser. Accordingly, we find that in the peculiar facts and circumstances of the present case, the Tax Authorities have failed to exercise their powers which they are vested with and in the face of the inabili ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er, considering the orders available on record, it was noticed that the evidences are not a subject matter of discussion as only conclusions on some evidences are drawn. Accordingly, it was deemed appropriate to direct the parties to address the facts on record and a pass over was given pointing out that if necessary, time would be granted. 3. In the pass over proceedings, the ld. AR inviting attention to the assessment order para 2 submitted that the assessee has been considered by the AO to be purely agriculturist and in the year under consideration has declared agriculture income of ₹ 78,720/-. It was submitted that in his bank accounts maintained with Oriental Bank of Commerce, Mullanpur, deposits of ₹ 3,23,50,500/- odd w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... levant as she was sister of the assessee. 5. We have heard the rival submissions and perused the material on record. A perusal of the assessment order shows that the assessee gave the following reply on 12.01.2015 which was also filed in an affidavit dated 08.01.2015, the contents of which are extracted in para 3 of the assessment order and read as under : 1. That I am an agriculture land deriving my livelihood through agriculture activities only. 2. That I have no other source of Income. 3. That during the financial year 2010-11, I have sold my agricultural land situated at village Ferozpur Bangar measuring 30 Kanals 12 Marias to Sh. Dilraj Singh Karta(HUF) S/o Sh. Hardeep Singh, r/o H.No. 1638 sector 39B Chandigarh, Sukhd ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r ward- 5(4) . 5(1), Amritsar. 7. A perusal of the above shows that the Assessing Officer traced the PANs of the three persons and failed to carry out any other activity. A perusal of the impugned order shows that the affidavit of Smt. Harjit Kaur which was filed to support the assessee's claim, was discarded as that being of an interested person. The assessee, as per record is supposed to have also filed the Report of GAMADA which has been discarded on the plea that the Sale Deed registered reflects only an amount of ₹ 47,81,750/-. We find that I n the facts of the present case, the tax authorities have proceeded to take action qua the transactions against the most vulnerable person. There is nothing on record to show that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that he is doing agriculture farming and have no other source of income. The Assessee further stated that the deposit in the bank was made out of sale proceeds of 30 Kanal 12 Maria agriculture land against which the purchaser paid ₹ 47,81,250/- through cheque (executing for Sale Deed) and paid in cash ₹ 3,23,50,000/- in token of the receipt of sale. 6. That the Assessee deposited the said money in his bank. The Learned CIT (A) rejected the appeal of the Assessee treating amount of ₹ 3,23,50,0007- as an unexplained income on account of unexplained cash U7S 68 of the LT.Act 1961. 7. That the assessee has duly explained the source of deposit in the bank, now it is for the department to prove that the Assessee had earned ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt point of time. The AO in the facts of the present case should have carried out necessary enquiries as he had the PAN details of the purchaser. Accordingly, we find that in the peculiar facts and circumstances of the present case, the Tax Authorities have failed to exercise their powers which they are vested with and in the face of the inability of the assessee to produce the concerned purchasers, the Department who has the PAN numbers and has traced the parties in Amritsar should have no hesitation in calling forth and examining the issues as the purchasers may be front-men of some builders etc. having deep pockets. The relevant facts in the form of the value of the specific property at the relevant point of time may also be a relevan ..... X X X X Extracts X X X X X X X X Extracts X X X X
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