TaxTMI 
TaxTMI 
2021 (8) TMI 274
X X X X Extracts X X X X
X X X X Extracts X X X X
....he business premises of M/s. Shaktiman/Kirtimangroup of cases on 4/9/2012 and 24/9/2012. During such survey, the assessee offered an additional income of Rs. 85,58,000/- in the assessment year 2012-13. However, during the assessment proceedings for the assessment year 2013-14, attaining a doubt, learned Assessing Officer called for the income-tax return and balance sheet for the assessment year 2012-13 and found that the assessee had filed the Income Tax return for assessment year 2012-13 declaring a total income of Rs. 65,42,853/- as against the surrendered income of Rs. 85,58,000/-, after setting off the business loss against the income surrendered during the course of survey, and such a set off, according to the learned Assessing Officer....
X X X X Extracts X X X X
X X X X Extracts X X X X
....se of Lukhmich and Baijnath vs. CIT 35 ITR 416 (SC) wherein it was held that in case an amount is found credited in the books of accounts of the business, it would not be unreasonable to treat the same as business income. Ld. AR further submitted that in the case of the sister concern, namely, Kirtiman Cement and Packaging Private Limited, a coordinate Bench of this Tribunal in ITA No. 2777 and 2778/Del/2017 by order dated 15/5/2018 for the assessment years 2012-13 and 2013-14 allowed the business losses to be set off against the surrendered amount. He further placed reliance on the CBDT circular No. 11/2019 dated 19/06/2019 wherein the board had accepted that prior to 1/4/2017 set off of losses shall be allowed against the deemed income. H....
X X X X Extracts X X X X
X X X X Extracts X X X X
....f property income from property dealings. According to the authorities below, however, the surrendered amount is only a deemed income and no set off of business losses is allowable out of them. 7. As rightly contended by Ld. AR, in the case of Lakhmich and Baijnath (supra) the Hon'ble apex court held that in case any amount is found credited in the books of accounts of the business, it would not be unreasonable to treat the same as business income. A copy of the order dated 15/5/2018 in the case of M/s. Kirtiman Cements (supra) is produced before us and a coordinate Bench of this Tribunal after considering a catena of case law held that section 115BBE was amended w.e.f. the assessment year 2017-18 stating that the loss will not be allo....