TaxTMI 
TaxTMI 
2007 (6) TMI 18
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....efined in section 158B(b) of the Act, 1961, to hold that the deposits of Rs. 65.28 lakhs and 39.70 lakhs cannot be subjected to assessment under section 158BC of the Income-tax Act, 1961 ?" 2 We have heard Mr. U. Bhuyan, learned standing counsel for the Revenue, and also Dr. A. K. Saraf, learned senior counsel for the respondent. 3 There was search and seizure in the business as well as residential premises of the assessee on July 20, 2000. Proceedings under section 158BC of the Act were initiated. The assessee filed his return for the block period 1991-92 to 2001-02 declaring undisclosed income of Rs. 12,25,300. The Assessing Officer by the order dated July 31, 2002, assessed the income not disclosed by the assessee at Rs. 1,34,32,183. T....
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.... in the normal course of business on or before the date of search has to be excluded. No such document or any other evidence could be produced by the respondent-assessee to meet the requirement of clause (d) of section 158BB(1) of the Act and, therefore, the Assessing Officer was correct including the unexplained deposits as part of undisclosed income. 5 Dr. A. K. Saraf, learned senior counsel argued at length to counter the submission of Shri Bhuyan. Dr. Saraf challenged the maintainability of the appeal as, according to him, determination of undisclosed income is purely a matter of fact and such a question cannot be a subject-matter of appeal under section 260A of the Income-tax Act, particularly when there is concurrent finding rendered....
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....ng Officer that the bank accounts were found recorded in the regular books of account and duly explained by the authorized representative. On this context, the Commissioner of Income-tax (Appeals) held that the same will not be covered by the definition of undisclosed income. The Commissioner of Income-tax (Appeals) on examination of the documents observed as follows: "........Thus, from the order sheet it is evident that the appellant had regular books of account which was explained. The Assessing Officer had not given any finding on his examination of accounts and on the explanation on the deposits of the bank account. Since bank deposits are stated to have been disclosed in regular books of account and there is no material to prove that....
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....e have considered the respective submissions made by learned counsel for the parties in details. It would appear from the pleadings on record that the aforesaid two amounts were received by the assessee from a Government agency, i.e., DRDA by cheques and the same were deposited in the Canara Bank account of the assessee and duly reflected in the regular books of account. The Assessing Officer in the order sheet dated March 26, 2001, recorded that the explanation regarding various bank accounts have been examined in details and the bank accounts are found recorded in the regular books of account. The Assessing Officer relied upon a part of the entries in the books of account and rejected the other part. Since the entries made in the books of....