2019 (11) TMI 762

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....2010 on the following questions of law: "1. Whether the presumption under Section 132(4A) of the Income Tax Act can be raised in the assessment proceeding? 2. Whether apart from from section 132(4A) of the Income Tax Act, the burden to explain the documents seized from the possession of the assessee during search is upon him and if it so, then has he discharge the burden." Brief facts of case are that residential premises of the assessee was searched under Section 132 of Income Tax Act (hereinafter called as the 'Act') on 28.02.2000. Locker No. 64 Dena Bank, Abu Lane Branch, Meerut, which is in the joint name of assessee and his wife Smt. Aneeta Gupta, was also searched. During search, jewellery worth Rs. 7.44 lakhs was found f....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....d overlooked the provisions of Section 132 (4A) of the Act. The ITAT while partly allowing the appeal of revenue rejected the first ground of appeal taken by revenue and upheld the order passed by CIT (A), while deciding ground no. 2 it reversed the order of the CIT (A) and restored that of A.O. Sri Parv Agarwal, learned counsel appearing for the assessee submitted that Tribunal while deciding the appeal failed to consider that revenue did not establish any connection between the entries recorded in loose papers found during search with the books of accounts. Further, the assessee on 29.11.2004 had made written submission that he does not have any knowledge about persons mentioned in the papers, as well as categorically denied the transact....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n, he had submitted that he had no concern with the said documents, so seized. Further, the A.O. while passing the assessment order had only on basis of the loose papers found during search made addition to the undisclosed income of assessee while the entries of said papers remained uncorroborated. This Court, in the case of CIT, Kanpur Vs. Shadiram Ganga Prasad, 2010 UPTC 840 has held that the loose parchas found during search at the most could lead to a presumption, but the department cannot draw inference unless the entries made in the documents, so found are corroborated by evidence. As, Section 132(4A) of the Act provides that any books of account, documents, money, bullion, jewellary or other valuable articles or things found in pos....