TaxTMI 
TaxTMI 
2019 (11) TMI 1297
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....e in nature. In brief, short issue involved in the present appeal is, whether the loss of Rs. 75,31,781/- claimed by the assessee on account of "Stock Loss" in trading of wheat is genuine loss ? If yes, then capital gain arose to the assessee deserves to be set off against this loss or not. 3. Brief facts of the case are that the assessee has filed her return of income on 7.10.2015 declaring total income at Rs. 25,79,460/-. The case of the assessee was selected for scrutiny assessment and notice under section 143(2) was issued and served upon the assessee. On scrutiny of the accounts, it revealed to the Assessing Officer that the assessee has income from house property at Rs. 14,55,272/-; income from long term capital gain of Rs. 78,83,716....
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....6332 Bannoth 3 M/s Chhavi Sales Corpn 08/01/2014 500000 2490 2068 5149320 2490 2490 4980 500 19920 5179700 Badli 4 M/s Anita Industries 08/01/2014 500000 2496 2071 5169216 2496 2496 4992 500 19968 5199668 Timarpur 5 Ms Kanshi Ram Sumit Kumar 08/01/2014 500000 2475 2071 5125725 2475 2475 4950 495 19500 5155920 Alipur 6 M/s Tarn Chand Dev Kumar 08/01/2014 500000 2490 2069 5131120 2480 2480 4960 500 19840 5161380 Holambi Kalan 7 M/s Maya Ram Pawan Kumar 08/01/2014 500000 2495 2073 5151405 2485 2485 4970 500 19960 5181805 Samayapur Badli Details of Sale of Wheat as per the copies of accounts supplied by the assessee SI. No Name of the Party Date of information infection ....
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.... levy of capital gain tax. It emerges out that the assessee has sold officespace in Gurgoan for a sum of Rs. 2.00 crores which has led to a long term capital gain of Rs. 78,83,716/-. In this way, the ld.AO disbelieved the claim of loss and disallowed the same. Appeal to the CIT(A) did not bring any relief to the assessee. 5. The ld.CIT(A) apart from concurring with the Assessing Officer further observed that since delivery of the wheat was not taken by the assessee, therefore, even if it is assumed that she has undertaken this activity, then, it is a speculative loss, which cannot be set off against the long term capital gain arose to the assessee. 6. Before us, the ld.counsel for the assessee while impugning orders of the ld.Revenue auth....
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....ed in their godowns, and charged godown rent. This indicates that actual delivery has been taken by the assessee. 7. The ld.DR,on the other hand, relied upon the orders of the Revenue authorities, and submitted that the Assessing Officer has pointed out various defects in the version put-forth by the assessee in support of her claim. Settings of all these circumstances are such, which can prove that story of the assessee is false. 8. We have considered rival submissions and gone through the record carefully. According to the Assessing Officer, the assessee has sold office space in Gurgoan for Rs. 2.00 crores which has given rise to long term capital gain of Rs. 78,83,716/-. Therefore, the assessee has a motive to reduce tax liability by a....
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....ficer before disbelieving it. He ought to have alteast issued summons to these entities and to verify whether this activity was actually undertaken by the assessee or not. Suspicion however may be strong, but only on the basis of the suspicion claim of the assessee cannot be rejected. For buttressing this aspect, we would like to refer decisions of Hon'ble Supreme Court in the case referred by the ld.counsel for the assessee in his synopsis viz. Omar Salay Mohamed Sait Vs. CIT, 37 ITR 151,CIT Vs. Daulat Ram Rawatmull, 87 ITR 349 (SC). In both these decisions, Hon'ble Supreme Court propounded that claim of the assessee cannot be rejected on surmises, suspicion and conjecture. It is for the Assessing Officer to prove that apparent is not real....