TaxTMI 
TaxTMI 
2020 (5) TMI 509
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.... residential property out of own funds. 2. That appellant craves leave to add, to amend or withdraw to any ground on or before the hearing of the appeal. 2. The brief facts of the case are that assessee filed its return of income declaring an income of Rs. 16,17,759/- on 28.7.2011. The Addl. DIT(Inv.), Unit-I, Mumbai vide its letter dated 10.3.2016 forwarded information to Pr. CIT-20, Kolkata in the case of Cosmos Group, which is engaged in the business of building and construction. During the search proceeding, incriminating material relating to the on-money receipts of the assessee was unearthed and seized. The case of the assessee was reopened u/s. 147 by the ITO, Ward 62(4), Kolkata after recording reason to believe and obta....
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....either any supporting document/ evidence nor any bank statement was filed by the assessee. AO observed that the submission made by the assessee regarding the nature and sources of investment made in the form of advance in cash amounting to Rs. 5,00,000/- to Cosmos Group is found to be evasive and unsatisfactory. Since no satisfactory explanation has been offered by the assessee about the nature and source of payment of cash, the value of the investment is deemed to be the income of the assessment of the relevant F.Y. and accordingly, the same was added to the hands of the assessee and the income of the assessee was assessed at Rs. 21,22,040/- u/s. 148 of the Act r.w.s. 143(3) of the I.T. Act, 1961 vide order dated 09.12.2016. Against the as....
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....seizure operation conducted in the case of Cosmos Group incriminating material of accepting on-money from different parties have been found and in this regard information of payment of Rs. 5 lakhs by the appellant in cash was also gathered which is discussed by the AO in para 4 of the assessment order. However, in the chart the date of payment has been mentioned as 07.02.2010 which is actually 02.07.2010 i.e, 2nd July, 2010 which is clarified by the Ld. AR of the appellant during the course of appellate proceedings. Hence, it is held that the transaction relates to A.Y. 2011-12 only. 6.7 This is an undisputed fact that this transaction took place between the appellant and the Cosmos Group for the purchase of the apartment and all t....
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....avings made by the wife out of his income only. In this light, this fresh submission that the source of Rs. 5 lakhs cash belongs to his son also deserves to be rejected as the appellant has never claimed that he has ever taken money from his son for the investment for the purchase of this property before AO. 6.9 Further, the details given by the appellant of the withdrawal of amount of the last 2 years clearly suggests that the appellant has even withdrawn Rs. 5,000/- for his personal need. If this cash of Rs. 5 lakhs was lying in his house, why he will withdraw such petty amount from the bank. The transactions given by the appellant clearly shows that he has good banking habit and no prudent person will keep cash of Rs. 5 lakhs in....
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....at there are reasons to believe that the apparent is not the real party who relies on a recital in a deed as to establish the truth of those recitals, otherwise it will be very easy to make self-serving statements in documents either executed or taken by a party and rely on those recitals. If all that an assessee who wants to evade tax is to have some recitals made in a document either executed by him or executed in his favour then the door will be left wide open to evade tax. A little probing was sufficient in the present case to show that the apparent was not the real. The taxing authorities were not required to put on blinkers while looking at the documents produced before them. They were entitled to look into the surrounding ci....