×Latest Case Laws on Income Tax by various Income Tax Appellate Tribunals in India
These are the latest case laws decided by various Income Tax Appellate Tribunals (ITAT) of India on Income Tax which have been published recently. The case laws are open for discussion and we invite expert comments from our members on its applicability and effect on relevant issues.
This is a group of seven appeals filed by the assessee against the consolidated order of the ld. CIT(A) dated 30/12/2011. The assessee or ginally had taken a number of legal grounds along with grounds on merits, however, which were later on simplified and concise/revised grounds of appeals were filed vide letter dated 2/5/2018. All the appeals except appeal in assessment year 2009- 10involve similar issues and these were heard together, therefore, for the sake of convenience, a common and consolidated order is being passed. For the sake of convenience concise/revised grounds of appeal taken by the assessee in assessment year 2003-04 are reproduced below:-
1. The Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts in passing the order which is illegal, improper and against the principles of natural justice.
2. The Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts in passing the order without giving adequate opportunity of being heard.
3. The Ld. Commissioner of Income-tax (Appeals)has erred in law and on facts in sustaining the addition u/s 69 of Income-tax Act on account of unexplained investment in the following properties on the basis of report Ld. Valuation Officer, which itself suffers from various infirm ties
i. Plot No. 28, 29, 30 &31, Gaura Bagh, Lucknow.
ii. Plot No. 37 & 38, Gaura Bagh, Lucknow
iii. Plot No. 25 & 26 Gaura Bagh, Lucknow
iv. Plot No. 35, 45, 46 & Khasra No.45 situated at Gaurabagh, Kursi Road, Lucknow (1/2 share, other 1/2 share belonging to Shri Mahesh Singh Patel).
4. The Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts in not giving full benefit of amount surrendered by Shri K. N. Singh Patel,
5. The Ld. Commissioner of Income-tax (Appeals) has erred in law and on facts in not granting relief sought by the appellant in appeal.
6. The appellant craves leave to add, amend, alter or withdraw any ground of appeal or raise any new ground of appeal during the pendency of appeal.
2. Besides above grounds taken in assessment year 2003-04, the assessee has taken a further ground being ground No.5 in assessment years 2004-05nd 2005-06, challenging the order of the ld. CIT(A) in sustaining further additions. Such ground of appeal in these years reads as under:-
ASSESSMENT YEAR 2004-05:
5. The ld. CIT(A) has erred in law and on fats in sustaining the addition of Rs.8,06,600/- under section 69 of the Act on account of undisclosed investment in purchase of plots or land.
ASSESSMENT YEAR 2005-06:
5. The ld. A.R. of the assessee has erred in law and on facts in sustaining the addition of Rs.2,86,500/- under section 69 of the Act on account of undisclosed investment in purchase of plots or land.
3. The appeal in assessment year 2009 10 involve only one ground challenging the order of the ld. CIT(A) in upholding the addition of Rs.2.50 lakhs made by the Assessing Officer on account of low household expenses.
4. The brief facts as noted in the assessment order in various years are that a search and seizure operation under section 132A of the Act was carried out on Harsingar Gutkha/Patel group of cases on 19/11/2008 and several commercial and residential premises of the assessee were covered under this operation. Simultaneously, survey proceedings under section 133A of the Act were also carried out at many places belonging to the assessee group and its business associates. As a result of search/survey operations, various documents were seized/impounded, resultant to which the group as a whole agreed to surrender a sum of Rs.10 crores as undisclosed income/investment. The declaration to this effect was originally made by Shri O. N. Singh Patel, Shri Mahesh Singh Patel, Smt. Anju Singh and Smt. Anita Singh. Subsequently, on 25/2/2009 an affidavit was filed by Shri. K. N. Singh Patel, who is the head of the family, showing therein detailed declaration and head-wise amount of undisclosed income/investment.