TaxTMI 
TaxTMI 
2013 (7) TMI 850
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....T(A) dtd. 21/10/2009 for A.Y. 2005-06 on the following proposed questions of law : (i) Whether ITAT was justified in holding that no addition can be for on money payment in respect of year under consideration u/s. 153A of the Act just on the ground that no evidence in regard of on money payment for sale of plot in year under consideration was found, despite the fact that evidences of on money were found, seized & declared by assessee for same project although for other years? (ii) Whether ITAT was justified in stating that decision of Hon'ble Andra Pradesh High Court in the case of Mr. Gopal Lal Bhadruka Vs. DCIT, was not applicable in this case, just because evidence found was of immediate succeeding year? (iii) ....
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....Rs. 16,29,612/- was shown in the return of income for A.Y. 2007-08. It appears that thereafter on the basis of search carried out and the disclosure of Rs. 65 Lacs pertaining to the land selling transactions in the A.Y. 2006-07 and 2007-08, the Assessing Officer reopened assessment with respect to A.Y. 2005-06 with respect to sale of plots of land admeasuring 6426.01 sold in A.Y. 2005-06. As the Assessing Officer was of the opinion that in the return of A.Y.2005-06, the assessee had not shown any profit as done in A.Y. 2006-07 and 2007-08, a show cause notice was issued and served upon the assessee to show cause why same ratio and ratio of profit should not be applied to the sales which took place in the year 2005-06. That the Assessing Off....
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....that the tribunal has not properly appreciated the provisions of law more particularly section 153A of the Act, which permits the Assessing Officer to reopen / reassess the return of six preceding years. It is submitted that therefore, considering section 153A and 153C of the Act, the Assessing Officer was justified in reopening the assessment with respect to A.Y. 2005-06 and considering the same ratio and ratio modusoperandi with respect to A.Y.2006-07 and 2007-08 rightly added undisclosed income on the sale of plots of land admeasuring 6426.10 sq.mtrs. sold during the year under consideration being extra sale profits received on sale of plots of land at the rate of Rs. 575/- per sq.mtrs. as done in the A.Y. 2006-07 and 2007-08. 3.01. M....
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....36,94,955/- by observing that the Assessing Officer was not justified in making addition of Rs. 36,94,955/- solely on the basis of the disclosure of Rs. 65 Lacs with respect to transactions which took place in the year 2006-07 and the order passed by the CIT(A) is rightly confirmed by the Tribunal. 4.01. While confirming the order passed by the CIT(A), the ITA(T) has observed as under:- "...... In the present case, although the project is same for which some plots of land were sold in the present year but evidence found regarding the receipt of the non-money is in respect of subsequent year i.e. 2006-07 although, the project is same. Now the question is whether the receipt of on-money is subsequent year can be a valid basis to h....