TaxTMI 
TaxTMI 
1995 (5) TMI 68
X X X X Extracts X X X X
X X X X Extracts X X X X
....ater on revised on27th March, 1986declaring income of Rs. 4,47,750. Assessing Officer (AO) had completed the assessment under s. 143(3) vide order dt.24th March, 1987on an income of Rs. 14,47,749. The addition of Rs. 10 lakh had been made by the AO on the ground that assessee was not the actual winner of the lottery and that the prize winning ticket had been purchased by the assessee from the actual winner of the lottery. The purchase price of the winning ticket was presumed to be Rs. 10 lakhs and assessee was deemed to have invested the said amount out of undisclosed income. Assessee appealed to the CIT(A)-III,New Delhi. The CIT(A) did not approve of the addition made by the AO vide order dt.3rd Jan., 1989. He accordingly remitted the matt....
X X X X Extracts X X X X
X X X X Extracts X X X X
....order under s. 154 of the CIT(A) the assessment has been set aside and therefore, it was open to the ITO to make a fresh assessment in accordance with law and that the findings of the appellate authority were not binding upon the AO. 4. In our considered view, assessee deserves to succeed on this technical ground. The AO, as already pointed out, had made the addition of Rs. 10 lakhs on the background of the winning ticket having been sold by the organizers to a stockiest inMadurai. The assessee had claimed to have purchased the ticket inDelhifrom one Shri S.D. Sachdeva, B-III, Lajpat Nagar-I, New Delhi-24. On making enquiries from the stockist, it transpired that the ticket had not been sold by the stockist to any dealer inDelhi. Assessee ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....tual owner. Unless there is some evidence about the existence of such a party it cannot be asserted through a bland statement that the appellant was not the actual owner and the income was being assessed in his hands on a protective basis. No clear basis is seen of reaching such a conclusion in the present order of the assessing authority. Accordingly, on this limited point this matter is restored to the file of assessing authority for making further necessary investigation after giving the appellant due opportunity of being heard in the matter." A perusal of the above order clearly establishes the fact that the CIT(A) had recorded two important findings as under: (i) Onus cannot be upon the appellant to obtain knowledge about the present....
X X X X Extracts X X X X
X X X X Extracts X X X X
....been the fate of the findings of the CIT(A) in his appellate order dt.3rd Jan., 1989if these were challenged before the Tribunal. However once these findings have not been challenged, the AO while making the fresh assessment cannot ignore those findings as these have become final. We are, therefore, making ourselves very clear that we are not subscribing to the view of the CIT(A) in his appellate order dt. 3rd Jan., 1989 but since the present appeal arises out of order of the AO passed as a result of the first appellate order, we are bound to hold that the AO was legally bound to act upon the findings of the first appellate authority. The Revenue not having established the case as perceived by the CIT(A) vide order dt.3rd Jan., 1989, the ad....