TaxTMI 
TaxTMI 
2016 (8) TMI 73
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....ircumstances of the case. 2 The appellant denies to be assessed at Rs. 6,17,400/-against the declared total income of Rs. 56,670- on the facts and circumstances of the case. 3 The learned CIT (A) is not justified in confirming the addition of Rs. 5,60,730/- under section 68 of the Act on the facts and circumstances of the case. 4 The learned CIT(A) was not justified in confirming the finding of the AO that the nomenclature as per the declaration differed from the sale invoice and hence the said sale was out of diamonds different from the one in the declaration made on the facts and circumstances of the case. 5.The learned CIT(A) was not justified in relying on the observations made in the earlier appellate orders to arrive at a ....
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....cision by following another detailed judgment rendered in ITA No. 186/2004 dated 22.09.2008in which it was directed that if the assessee is able to prove that the goods that are sold under the transactions declared in the regular return are the same goods which were declared in the application filed under the VDIS Scheme 1997 and accepted by the revenue then the question of taxing the transactions declared in the regular returns u/s 68 of the IT Act would not arise and tax has to be imposed u/s 45 of the IT Act, 1961. He submitted that in the present proceedings, the AO and the ld. CIT(A) has repeated the same addition and therefore, the addition made by the lower authorities is not justified and the same should be deleted. He also submitte....
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....Hon'ble Karnataka High Court, I examine the facts of the present case. As per the valuation report submitted by the ld. AR being copy submitted with the declaration under VDIS 1997 as available on page-4 of the paper book, the assessee has made declaration of diamonds as under; Sl.No Carats Pieces Amount 1. 8.50 85 68,000 2. 7.00 70 42,000 3. Net Weight of Gold 578.160 Gms. 123,360 Total........... 2,33,360 7. On pages 7 & 8 of the paper book, sale bills are not available As per page No. 2 of the original assessment order available on page 8 of the paper book, out of Rs. 560,730/- being total sales consideration, sale of gold is for Rs. 185,730/- an....
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.... in the absence of size, cut and colour of the diamonds, it can be accepted that the diamond sold and declared under VDIS are same merely on this basis that Carat quantity is tallying. Hence, this Tribunal order cited by the ld. AR of the assessee is not applicable in the present case in respect of diamonds sale. 11. As per the second judgment cited by the ld. AR of the assessee rendered in the case of Smt. Umabai M.Kothari (Supra), I find that in that case, there was no sale of Diamond and there was only sale of Gold and Silver, whereas in the present case, I have decided the issue about sale of gold in favour of the assessee and for the dispute regarding sale of Diamond, I have seen that the assessee could not establish this fact that ....