TMI Blog1985 (7) TMI 12X X X X Extracts X X X X X X X X Extracts X X X X ..... reat detail. The first 7 questions sought to be raised relate to the initiation of proceedings under section 147(a) of the Income-tax Act, 1961. The facts of the case are that there was a raid on the applicant's business place in September, 1967, but nothing was discovered. However, some account books referred to as uchanti account books were handed over by some munims of the assessee to the Central Bureau of Investigation. These books were handed over before the raid. They came into the possession of the investigation wing of the Income-tax Department. At some stage, it appears that the Income-tax Officer concerned recorded reasons why the assessment proceedings for the year 1962-63 should not be reopened by resort to section 147(a). Unfor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... x Officer before the reasons were recorded or the action under section 147(a) was taken. We think that this is unlikely keeping in view the reasonable and common course of events. The law requires that the books when seized should be sent to the Income-tax Officer and we see no reason why the books should not come in this particular case to that officer as the books are of no utility to anyone else. We, therefore, think that the first 7 questions do not arise as questions of law in this particular case. The other questions deal with other aspects of the case. Questions 8, 9 and 10 are concerned with the way in which the credit entries occurring in the duplicate set of uchanti books were dealt with by the Income-tax Officer and the Commiss ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d before us, but we think they are all not applicable to the facts of this case. For one thing, the source of income in this case is the same as the source of income in respect of other income. The assessee was doing ghee business and the Commissioner of Income-tax (Appeals) has treated the extra entries as showing that they were further transactions in the business outside the original books. There was thus no new source. In addition, no new material at all was referred to by the Commissioner of Income-tax (Appeals). It was an inference from pre-existing facts on record. An appeal is by its nature a rehearing of the original proceedings. The Commissioner of Income-tax (Appeals) reconsidered the same material as was considered by the Inco ..... X X X X Extracts X X X X X X X X Extracts X X X X
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