2021 (10) TMI 177

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....08.2021, made in the writ petition filed by the 1st respondent herein, namely, Commissioner of Income-Tax, Central- VII, Chennai. 2.The said writ petition was filed by the 1st respondent/Department, challenging the order passed by the Income Tax Settlement Commission ("the Commission" for brevity), dated 26.07.2013. The writ petition has been allowed and aggrieved by the same, the 2nd respondent, whom we shall refer to as the assessee, is before us by way of this Writ Appeal. 3.We have heard Ms.Vandha Vyas, learned counsel appearing for Mr.R.Sivaraman, learned counsel for the appellant and Mr.A.P.Srinivas, learned Senior Standing Counsel appearing for the respondents/Revenue. 4.Before we proceed to examine the correctness of the order im....

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....nt Representative ("CIT(DR)" for brevity) has given a concession, which was never given. The Revenue is aggrieved by the observations made by the Commission in Para No.5.2, which reads as follows :. "5.2. ... We had asked the Department to carry out a verification in respect of the above. As regards item (b) above the learned CIT(DR) reported that a verification was carried out and it has been found that the entries in respect of customers gold had actually been wrongly made. He fairly accepted that the contention of the Applicant in this respect is acceptable." 7.On a reading of the above paragraph, one gets an impression that there is a concession extended by the Department, when the case was being discussed by the Commission. However,....

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....ased the net weight of the stone to over 20% of the Gold jewellery. The assessee contended that there are discrepancies in the computation of excess stock, which was detected only after the survey and was immediately brought to the attention of the Assessing Officer, vide letter dated 08.09.2010. The assessee stated that the excess stock computed in the course of the survey was incorrect, as it is a common practice adopted by the assessee to accept old Gold ornaments from customers for remaking and this has been wrongly entered in the books as if to be the assessee's own Gold and the assessee sought to explain the difference in stock on those grounds. Further, the assessee contended that some of the purchases made in AY 2011-12 had rema....

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....sessing Officer, stating that the delivery challans did not contain the signature of the customers and in the absence of receipts issued by the assessee to different customers from whom they have claimed to have received the old Gold, the authenticity of the receipt of Gold from the customers is not fully verifiable. In fact, the last two paragraphs in the communication dated 11.07.2013 was precisely the stand taken by the Revenue before the Commission, which was taken note of, and the Commission, with a view to examine as to whether there has been full and true disclosure, had directed verification of the Computer Server. 10.Therefore, the findings rendered by the Commission in Para No.5.2, as we have quoted above, is not a concession ext....