TaxTMI 
TaxTMI 
2015 (8) TMI 702
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....04/2008 and 31/03/2009 (i.e. Rs. 10892/- per 10 gms) as per the provision of sec. 69A of the Income Tax Act. On the other hand, the assessee in C.O. No. 24/Coch/2014 has raised the ground with regard to adoption of value of 26 kg. of gold jewellery at Rs. 520 per gram at the rate prevalent in the assessment year 2007-08 Rs. 1,93,44,000/-. 3. There was a delay of 58 days in filing the Cross Objection by the assessee before the Tribunal. The assessee has filed a petition seeking condonation of delay and also has filed an affidavit explaining the reasons for delay in filing the Cross Objection before the Tribunal within the due date. The Ld. AR submitted that the appeal Memorandum in Form No.36 was received by him on 09/12/2013 The Ld. AR sub....
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....for A.Y. 2009-10. The Assessing officer has made the addition by taking the valuation of gold as on 01-04-2008 and 31-03-2009 for per 10 gram for 24 carat at Rs. 10,892/- and has taken the average value. The value of 30 kg. of gold was thus worked out at Rs. 3,26,76,000/- and the addition was made accordingly by the Assessing officer. 6. On appeal, the CIT(A) observed that 26 kg. of gold was valued in the assessment year 2007-08 at the rate of Rs. 9300/10 gms. which is calculated as 9300 x 8/10 = Rs. 7440 (19.2 carat). Therefore, for 26 kg. of gold, the value comes to Rs. 1,93,44,000/-. He further observed that the assessee has already offered for taxation 2 kg. of gold valued at Rs. 19,40,000/- in the return filed for the assessment year ....
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..... He relied on the decision of the Jurisdictional High Court in the case of CIT vs. K.I. Pavunny ((1998) 232 ITR 837). The Ld. DR also relied on the order of the Chennai 'A' Bench of the Tribunal in the case of Kamadhenu Jewellers vs. ACIT in I.T.A. No. 216/Mds/2010 dated 12th August, 2011. 9. On the other hand, the Ld. AR submitted that the value of 28 kg of gold jewellery is to be considered at an average rate of Rs. 520 per gram and the total value worked out to Rs. 1,70,78,507/-. The Ld. AR submitted that there was accumulation of 30 kg. of gold over a period of 15 years at an average rate of 520 gms. per year from 1995-96 to 2009-10 and hence the average rate may be applied. According to the Ld. AR, the valuation adopted by the Assess....
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....r for the last 15 years, therefore the average rate of Rs. 520 per gram is to be considered. Without prejudice to this argument, the assessee took the plea that the valuation of 26 kg. at Rs. 1,93,44,000/- has been accepted by the Department for the assessment year 2007-08 which was considered as protective assessment and in the substantive assessment for the assessment year 2009-10, the same value is to be adopted. U/s. 69A of the Act, gold jewellery found during the course of survey is to be valued at the rate prevalent at the time of survey and not at the rate stated by the assessee. In this case, it is to be deemed that the gold jewellery was acquired in the year in question when the survey took place. More so, this view taken by the As....