TMI Blog2022 (7) TMI 1042X X X X Extracts X X X X X X X X Extracts X X X X ..... d by some authorised representatives as is apparent from the assessment order as well as the First Appellate order. Here again, the veracity of the assessee s contention that she had not authorised anybody to represent her, cannot be verified for want of adequate proof. The assessee s contention that the signature on Form 35 is not hers, is a matter within the realm of Forensic Experts. Further, as per record, even notice u/s 142(1) had been received by the assessee and had been duly responded to. Therefore, we reject the assessee s legal ground that the subject assessment is liable to be set aside for want of service of notice u/s 148 of the Act. We dismiss the grounds raised by the assessee in this regard. For merits of addition assessee has made several averments in which she has denied that she had ever filed any appeal before the Ld. First Appellate Authority and it has also be averred that she had neither appeared nor engaged any counsel to appear on her behalf either before the Assessing officer or before the Ld. CIT(A). In this affidavit, she has also mentioned about an ongoing matrimonial dispute between her son and his wife and it has also averred that the combined ord ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s receive consideration in kind such as furnished flat from Tata Housing Development Company Ltd. The information provided that one of the members of this society Shri Ranjit Singh had received payment as under:- 1. Name and address of Individual society Members (as provided by soc. at the time of execution of agreement). Smt. Rashpal Kaur Bhullar W/o Col. Sant Singh Bhullar H. No. B-143, Raj Guru Nagar, Ferozepur Road, Ludhiana 2 Area of Land purchased from the society Member 500 Sq. Yard 3 Purchase consideration i.e. amount payment to member in cash and in kind Rs. 80 lac (Eighty Lacs) by cheque Draft Allotment of one Flat of 2250 Sq. Feet. 4 Total payment made to member - Rs. 15 lacs on 30.4.2007 - Rs. 17 lacs on 15.06.2007 5 Date and mode of payment - 30.04.2007 - 15.06.2007 by cheque only 2.1 As the captioned assessee had not shown any income under any heads of income with respect to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... val could only be obtained in December 2008 which was further subject to the final necessary sanction being received from the Ministry of Defence and other authorities. It was further submitted that the issue had also become the subject matter of litigation before the Hon ble Punjab Haryana High Court and in this case essential condition for approval of capital gains were not finalized. It was submitted that the members of the Housing Society had received only two initial installments till 24.12.2010 and the balance amount was still doubtful to be recovered and, therefore, it could be said that there was any case of full consideration having been received. It was further submitted that the members of the society have only been promised a built up flat to be constructed by the company on its completion but nothing concrete had been done towards that end so far. The assesseee s submission was that, therefore, no addition could be made on promised consideration. 2.4 However, the Assessing Officer did not accept the assessee s contention and held that in view of the Joint Development Agreement and the resolution of the General Body of the Society, there was a grant and assignment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to believe as envisaged in section 147 of the Act and as such the assessment framed is illegal which merits annulment. 6. Without prejudice to the above, the Ld. Commissioner of Income Tax (Appeals) has further erred in upholding the addition of Rs.80,00,000/- as the alleged consideration received in cash which in fact has not been received till date and as such the addition upheld is illegal, arbitrary unjustified. 7. That the entire hypothetical addition is based on an agreement relied upon in parts by the Assessing Officer which in fact has not been implemented till date and as such the addition made and upheld by the Commissioner of Income Tax (Appeals) on suspicion, surmises and conjectures merits deletion. 8. That the Ld. Commissioner of Income Tax (Appeals) has further erred in upholding the addition of Rs. 1,01,25,000/- to be the alleged value of one flat relying upon an agreement entered into between third parties which is illegal, arbitrary and unjustified. 9. That the entire addition of Rs. 1,81,25,000/-- is based purely on suspicion, surmises and conjectures in as much as neither any amount has been received in cash during the year nor any fla ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mitting additional evidence vide application dated 21.09.2015 and also an affidavit dated 05.12.2017 filed by the assessee. The Ld. AR submitted that these additional evidences and the affidavit go to the very root of the matter and were filed in pursuance to the directions of the Bench. It was submitted that during the course of earlier proceedings, it had been argued by the Ld. AR that notice u/s 148 of the Act had not been served on the assessee as the assessee had never resided at the address mentioned in the notice as well as in the assessment order and that there was directions by the Bench to place on record the evidence in this regard and, therefore, such directions had been complied with. The Ld. AR prayed that these additional evidences may be taken on record in the interest of substantial justice. 3.1 In response to the assessee s application for admission of additional evidence, the Ld. SR DR opposed the assessee s application and submitted that such additional evidences should be out rightly rejected for the reason that the assessee had not demonstrated as to how she was prevented from filing such evidence before the Ld. CIT(A) or the Assessing Officer. 3.2 Havin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... merits of the case, the Ld. AR submitted that the assessee had come to know of the assessment having been completed and a demand having been raised only when the recovery notice was received. It was submitted that, apparently, somebody else had filed the assessee s return using her PAN or otherwise it seems that somebody had played a fraud on the assessee as well as the Department. It was submitted that a letter to this effect was also written to the ITO, WardVI(2), Ludhiana which was received in the Income Tax Office on 18.2.2013. It was further submitted that the assessee had again written to the Income Tax Officer Ward VI(2), Ludhiana in response to the notice u/s 271(1)(c ) of the Act, wherein, it had been submitted that the assessee had never filed any return of income nor had signed the appeal form and, apparently, somebody else had been assessed in the assessee s PAN. The Ld. AR drew our attention to the Affidavit dated 5.12.2007 filed before this Tribunal wherein the above stated submissions have been narrated and verified under oath. Referring to the said Affidavit, it was submitted that the contents of the Affidavit were self-explanatory and, therefore, it was very obvio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... idow shows the address as H. No. 1245/2, Sector 43B, Chandigarh. On the other hand, the notices u/s 148 of the Act, the assessment order as well as the order of the Ld. First Appellate Authority show the address at 10SF, HIG Flats, Rajguru Nagar, Ludhiana. It is the contention of the assessee that the assessee was not aware of the notice having been received u/s 148 of the Act and neither was she aware of the assessment proceedings having been completed against her. It is also her contention that she was not aware of any appeal having been filed against the assessment as she has also disputed the signatures which are affixed on form No. 35 filed before the Ld. CIT(A). It is her contention that she came to know of the assessment having completed against her only when she received a communication for the outstanding demand. On the other hand, when the issue of service of notice had been raised before the Ld. CIT(A), the assessee s challenge to assumption of jurisdiction u/s 148 of the Act was dismissed by the Ld. CIT(A) by noting that the assessee had been represented by two authorised representatives, both before the Assessing officer as well as before him, and also that the notice ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ived by the assessee and had been duly responded to. Therefore, we reject the assessee s legal ground that the subject assessment is liable to be set aside for want of service of notice u/s 148 of the Act. We dismiss the grounds raised by the assessee in this regard. 6.2 Coming to the merits of the case, it will be worthwhile to reproduce the contents of the Affidavit dated 5.12.2017 filed by the assessee before this Tribunal, which are as under:- Affidavit I, Rashpal Kaur Bhullar wife of Late Lt. Col. Sant Singh Bhullar aged 70 years resident of # 1245/2, Sector 43B, Chandigarh do hereby solemnly affirm and declare as under: - 1. That assessment u/s 143/147 for AY 2008-09 has been framed by the assessing officer ITO, Ward-VI (2), Ludhiana vide order dated 24.12.2010. 2. That no notice u/s 148/142(1)/143(2) was ever served on me before framing of assessment. 3. That the address mentioned on the assessment order i.e 10SF. HIG Flat, Raj Guru Nagar, Ludhiana is not my address. 4. That I have never resided at 10 SF, HIG Flat, Raj Guru Nagar, Ludhiana. 5. That the said house belongs to Sh. Rajinder Singh Khangura who is the father in law of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Had I not agitated the matter before this Hon'ble Court the revenue would have proceeded to recover the dues illegally created against me. 18. That I have not received the alleged payment of an amount of Rs.32 lacs as mentioned in the assessment order. 19. That I had lodged a complaint with SSP Mohali on 29/11/2010 wherein the facts in respect of the bogus return and bogus appeal having been filed have also been mentioned besides other points of dispute have also been narrated. Copy of the same is placed at Pages 19-21 of the additional evidence. Deponent Verification:- Verified that the above noted contents of my affidavit are true and correct to the best of my knowledge and belief and nothing has been concealed therein. Chandigarh dated 5.12.2017 Deponent 6.3 In the affidavit, as reproduced above, the assessee has made several averments in which she has denied that she had ever filed any appeal before the Ld. First Appellate Authority and it has also be averred that she had neither appeared nor engaged any counsel to appear on her behalf either before the Assessing officer or before the Ld. CIT(A). In this affidavit, she ..... X X X X Extracts X X X X X X X X Extracts X X X X
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