9911796707
TMI Blog2018 (3) TMI 2054X X X X Extracts X X X X X X X X Extracts X X X X ..... impugned order dated 11.11.2013 passed by Ld. CIT(Appeals)-VI, New Delhi qua the assessment year 2008-09 on the grounds inter alia that :- "1. That on the facts and in the circumstances of the appellant's case, the learned Commissioner of Income tax (Appeals) erred both in fact and in law in confirming estimated addition of Rs 58,00,1001- out of Rs. 1,00,00,0001- in respect of undisclosed investment in paintings made by the assessing officer without appreciating the fact that the appellant has not made any undisclosed investment on such paintings as the same were received by him as gifts from the artists only. 2. That on the facts and in the circumstances of the appellant's case, the learned Commissioner of Income tax (App ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... also partner of M/s. R & R Arts. A search and seizure operation was carried out at the business premises of M/s. R & R Arts on 17.04.2007 and consequently, the case was selected for regular assessment under section 143 (3) of the Income-tax Act, 1961 (for short 'the Act'). Assessee filed return of income for AY 2008-09 declaring his income at Rs. 18,40,524/- which was completed by the Assessing Officer at Rs. 1,44,62,994/- by making addition of Rs. 1,26,22,470/- (Rs.22,470/- + Rs. 1,00,00,000/- + Rs. 20,00,000/- + Rs. 6,00,000/-) on account of interest on saving bank accounts and undisclosed investment in paintings and income from undisclosed sources. 5. Assessees carried the matter by way of filing appeal before t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat in case of paintings stated to have been gifted by Manjit Bawa, it is mentioned that, "To Rohit and Rahul". It is also not in dispute that assessee filed confirmation from Bhavna Bawa, D/o Shri Manjit Bawa as Manjit Bawa remained in coma for three years after suffering a stroke prior to his death on 29.12.2008. 9. It is also not in dispute that the ld. CIT (A) has called for remand report during the appellate proceedings which was submitted vide letter dated 23.06.2011. Assessee stated to have not filed confirmation from Shibu Natesan and Jogen Choudhary on the ground that they were residing in Paris, France and Shantiniketan, West Bengal during assessment proceedings but their confirmations have been filed during appellate proceedings ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... basis is sustainable?" 12. The ld. AR for the assessee challenging the estimation on exorbitant rate by AO/CIT (A) drew our attention towards bills for sale of paintings by Shibu Natesan for an amount of Rs. 4,01,200/- as against the estimation of Rs. 12,00,000/- made by the ld. CIT (A), bill issued by Manjit Bawa for sale of painting for Rs. 2,00,000/- as against estimation of Rs. 12,00,000/- made by the ld. CIT (A), bill issued by Jogen Chowdhary for Rs. 6,00,000/- in the same rate estimated by the ld. CIT (A), bill issued by Arpana Caur for Rs. 2,66,700/- for sale of painting as against estimation of Rs. 8,00,000/- by ld. CIT (A), these bills have not been disputed by the Revenue authorities below. H ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ting the addition of Rs. 6,00,000/- made by the AO is concerned, before ld. CIT (A), the assessee has proved the fact that he is meeting his household expenses out of salary to the tune of Rs. 8,40,000/- and Rs. 3,60,000/- from M/s. Cue Apparels Pvt. Ltd. and M/s. R & R Arts respectively and rental income of Rs. 10,50,000/-. Moreover, household expenses are being met by his mother, Smt. Shashi Gandhi who is earning member, out of drawings of Rs. 4,61,585/- from her proprietorship concern, M/s. R.S. Enterprises and has brought on record Schedule 12 to accounts attached forming part of the balance sheet for AY 2007-08. 16. Ld. CIT (A) while deleting the addition also taken into account the deletion made by ld. CIT (A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee bearing cheque no. 880110. However, after rectification of mistake, another receipt dated 04.03.2007 has been brought on record, available at page 27 of the paper book, which is issued in the name of M/s. Vibhuti Investment Company Ltd. bearing same cheque number drawn on Bank of India, Prabha Devi, Mumbai. 20. When the payment of Rs. 20,00,000/- is proved to have been made by way of cheque bearing no. 880110 dated 26.02.2007 in the name of M/s. Vibhuti Investment Company Ltd. and this fact has been verified by the AO during assessment proceedings as well as during the remand proceedings and rectified receipt has been brought on record by the assessee and the assessee is not having got issued any cheque book bearing series of ch ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
