2016 (7) TMI 1529

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....n jewellery. 3. Shri Supriyo Pal, ld. Departmental Representative submitted that during the course of search operation in the premises of the assessee, unaccounted gold jewellery of 6136.900 gms was seized. The Government approved valuer valued the cost of the jewellery at Rs. 1,69,36,121/-. In the valuation report, it was shown that jewellery valuing Rs. 16,55,092/- and Rs. 37,08,499/- belongs to the assessee. During the course of search operation a statement was recorded from Shri Saravana Arul Selvarathinam, husband of the assessee. According to the ld. DR, no wealth tax return was filed by the assessee and her husband. The only explanation of the assessee was that her husband Shri Saravana Arul Selvarathinam inherited jewellery from h....

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....d. DR, since the assessee claimed that the bullion found at the residence was stock-in-trade of the jewellery business, the same has to be reflected in the books of account of the jewellery business. Therefore, the gold bar found during the course of search operation at the residential premises cannot be part of the jewellery declared by the assessee's mother-inlaw under VDIS. The ld. DR further submitted that the value of the jewellery said to be declared by the assessee's mother-in-law is an afterthought. The ld. DR further submitted that the assessee herself claimed before the Assessing Officer that the jewellery belongs to her mother-in-law to the extent of 2083.80gms was melted and utilized for business of gold jewellery. Therefore, th....