Forum
Read and express views
× 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.

03-04-2019, Rakesh Sarin & Sons HUF, Section 250(6), 158BC, Tribunal Chennai

  • amit
  • amit's Avatar Topic Author
  • Offline
  • Administrator
  • Administrator
More
2 months 1 week ago #9097 by amit
Section - 250(6), 158BC
Order Date - 03-04-2019
Favouring - Assessee
Court - Tribunal Chennai
Appellant - Rakesh Sarin & Sons HUF
Respondent - DCIT
Justice - A.MOHAN ALANKAMONY AM & DUVVURU RL REDDY JM
Citation - 419Taxpundit132
Appeal No. - I.T.(SS)A.No.19/Chny/2014
Asstt. Year - 01.04.1996 to 27.03.2003

Order

PER : A. Mohan Alankamony, AM:-

This appeal by the assessee is directed against the order passed by the learned Commissioner of Income Tax (A)(C)-II, Chennai, dated 30.09.2014 in ITA No.452/06-07 for the block period 01.04.1996 to 27.03.2003 passed U/s.250(6) r.w.s. 143(3) r.w.s. 158BC & 158BD of the Act.

2. The assessee has raised several grounds in its appeal however the cruxes of the issues are that:-

i. The Ld.CIT(A) has erred in upholding the Order of the Ld.AO that the assessee had not filed its return of income for the assessment years falling within the block period before the date of search and thereby made addition of Rs.14,28,240/-.

ii. The Ld.CIT(A) has erred in sustaining the addition made by the Ld.AO amounting to Rs.10,00,000/- being the money advanced to M/s. Vicky Films and Rs.4,50,000/- being the money advanced to M/s. Nadiadwala Grandson Entertainment as unexplained investment.

iii. The Ld.CIT(A) has erred in confirming the addition of Rs.4,500/ towards investment in shares, Rs.5,00,000/- towards investment made in RBI bonds, Rs.25,000/- with respect to investment made in various UTI/IDBI and HDFC Relief bonds, Rs.20,000/- being the investment made in Kisan Vikas Patras, Rs.3,50,000/- and Rs.41,50,000/- towards investment in RBI relief bonds which was assigned to Standard Chartered Bank as the undisclosed investments / income of the assessee.

iv. The Ld.CIT(A) has erred in confirming the addition made by the Ld.AO amounting to Rs.13,41,800/- as unaccounted investment being the cash deposits in the bank account and Rs.14,106/- towards deposit in RD account. v. The Ld.CIT(A) has erred in sustaining the addition made by the Ld.AO amounting to Rs.4,72,112/ towards negative cash balance.

vi. The Ld.CIT(A) has erred in sustaining the addition made by the Ld.AO amounting to Rs.25,50,000/- as the undisclosed investment of the assessee being the unaccounted pro-notes found during the course of search.

vii. The Ld.CIT(A) has erred in sustaining the addition made by the Ld.AO amounting to Rs.5,84,529/- towards purchase of fixtures and amenities as unexplained investment.

3. The brief facts of the case are that the assessee is a HUF whose Karta Shri Rakesh Sarin was searched on 27.03.2003 and concluded on 28.08.2003. Thereafter a notice U/s.158BC r.w.s. 158BD was served to the assessee on 23.02.2005 requesting the assessee to file its return of income. Subsequently the assessee filed its return of income for the block assessment period on 18.03.2005. Thereafter assessment was completed U/s.143(3) r.w.s. 158BC & 158BD of the Act vide order dated 28.02.2007 wherein the Ld.AO made several additions which was further sustained by the Ld.CIT(A).

4. Ground No.2(i) : Non filing of Income Tax returns:- During the course of investigation, it was observed that the assessee had made substantial investments in recurring deposit, RBI Relief bonds, shares, KVP, HDFC Relief bonds etc., and also had advanced huge loans to various parties. It was explained by the assessee that they had disclosed the same in its return of income or all the assessment years and also produced the acknowledgements for having filed the return of income. However on verifying the acknowledgements submitted by the assessee, it was observed that the acknowledgement number did not pertain to the assessee but to different persons. Therefore the Ld.AO opined that the returns filed by the assessee are bogus towards which the

Click to view and download Full Free Judgement of Rakesh Sarin & Sons HUF vs. DCIT

Unable to display Google Map.




Please Log in or Create an account to join the conversation.

Time to create page: 0.252 seconds

If You Appreciate What We Do Here On TaxPundit, You Should Consider:

We are thankful for your never ending support.

Latest Analysis - High Courts

BEST CYBERCITY (INDIA) PVT. LTD. vs ITO

BEST CYBERCITY (INDIA) PVT. LTD. vs ITO

BEST CYBERCITY (INDIA) PVT. LTD. vs ITO Read More
PUNEET SHARMA vs UNION OF INDIA & ORS

PUNEET SHARMA vs UNION OF INDIA & ORS

PUNEET SHARMA vs UNION OF INDIA & ORS Read More
CIT vs HONDA CARS INDIA LTD.

CIT vs HONDA CARS INDIA LTD.

CIT vs HONDA CARS INDIA LTD. Read More
PCIT vs. ROYAL AND SUN ALLIANCES IT SOLUTIONS (INDIA) PVT. LTD.

PCIT vs. ROYAL AND SUN ALLIANCES IT SOLUTIONS (INDIA) PVT. LTD.

PCIT vs. ROYAL AND SUN ALLIANCES IT SOLUTIONS (INDIA) PVT. LTD. Read More
  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36

Forum Features

Latest Case Laws
Latest Case Laws are instantly updated in the Forum into their respective section
Latest from CBDT
Latest Circulars, Notifications, Orders etc. from CBDT is updated in the Forum
Ask Experts
You can ask questions to the community
Support
Support queries are either replied via mail or in the Forum so that others can be benefited
Press Releases
Latest Press Notes and Press Releases are updated in the Forum
Connect with Members
You can connect with our community members by replying to their queries

Recommended Articles

 

SITE INFORMATION

All content herein is the copyright of Taxpundit. No images, text, or any other content may be, reproduced or redistributed without the express written consent of Taxpundit.

All Rights Reserved. All Content Copyright.

Newsletter

Subscribe to our newsletter and stay updated on the latest developments and special offers!

Company Master Data Since 1900. More than 1.75 Million Records. Register/Login to get FREE access. Read more
Toggle Bar