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TMI Blog2023 (9) TMI 942X X X X Extracts X X X X X X X X Extracts X X X X ..... emanated from the order of the ld. DCIT, Central Circle-1, Jalandhar, [in brevity 'the AO'] order passed u/s 144 of the Act. 2. The assessee has taken the following grounds: "1. That the order of the Ld. CIT(A)-5, Ludhiana is against law and facts of the case. 2. That the Ld. CIT(A) erred in sustaining the AO's order to the extent of considering the amount of Rs. 12,50,321/- as Income from undisclosed sources and treating it as unexplained money under section 69A of the Income Tax Act and charge tax as per provisions of Section 115BBE of Income Tax Act, 1961 without appreciating that this amount was duly shown as income under the head 'Income from Business or Profession' in the return of income and this amount was disclose ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e ld. AR also invited our attention in statement of the Sh. Deepak Setia, assessee, taken on dated 27.02.2019 where the assessee made voluntary surrendered the business income Rs. 29 lacs, annexed in APB page 30. The surrendered income of the assessee declared in survey in following manner: Particulars Amount in Lacs Short cash 1,83,000/- Short stock 12,94,000/- Other discrepancies 14,23,000/- Total 29,00,000/- 4.1 The ld. AR in argument submitted that the entire amount was declared in the return filed u/s 139(1) and paid the tax in normal rate and treated the income as business income. The ld. AR relied on the order of Sh. Harish Sharma vs. ITO in ITA No. 327/Chd/2020, date of order 11/05/2021 wherein it has been held that: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... has been taken by Calcutta High Court in case of Mansfield and Sons v. CIT [1963] 48 ITR 254. 4.3. Further, respectfully reliance is also placed on the following judgments: Hon'ble ITAT-Chandigarh Bench in the case of M/s. Sham Jewellers in ITA No. 375/CHD/2022, date of order-22/08/2022 wherein, it has been held as under: "Ground Nos. 8 El 9 challenge the action of the lower authorities in applying the provisions of section 115BBE and thereby charging tax at the rate of 60%. The main thrust of the arguments of the Ld. AR has been that all the additions made or sustained relate only to the business income of the assessee and that nowhere in the assessment order has it been alleged that some other source of income had been detected which g ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and appeal proceeding that the said income is not connected with the business income of the assessee or accumulated from non-recognising source. Hence, when all the incomes earned by the assessee are only from the business income of the assessee, there do not arise any question as to application of provisions of section 69A of the Act and hence taxing such income at special rate as per section 115BBE is improper. It is a settled principle in law that when there is no other/separate source of income identified during the course of survey or during the course of assessment proceedings, any income arising to the assessee shall be treated to be out of the normal business of the assessee only. During survey proceeding the assessee filed surren ..... X X X X Extracts X X X X X X X X Extracts X X X X
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